The 30% Factories In The Pearl River Delta Are In A State Of Shutdown Or Semi Shutdown.

High cost chain fracture

Dongguan toy enterprise "Su Yi" and the textile enterprise "Ding Jia" suddenly closed down last week. In July, the PMI initial value fell below the 50 warning line for the first time. The European Union and the United States increased their export standards to China's toys and textile industries.

Some companies say the crisis is worse than the 2008 financial tsunami.

The collapse of SMEs is coming, or is psychological panic spreading? Our reporter has conducted in-depth interviews.

Last week, Dongguan toy enterprises "vegetarian" and

Toy business costs increase by 5%~10%

In July 20th and August 14th, the European Union and the United States implemented the new safety standards for toys in succession, which is undoubtedly exacerbated by China's related export enterprises.

According to customs data, the export volume of toys in Dongguan is about $2 billion, and more than 80% of toys are exported to Europe and the United States.

Zhong Jianrong, general manager of Dongguan Jiahong Industrial Co., told our reporter that after the implementation of the new standard, it is bound to affect the export of domestic enterprises.

After the implementation of the new EU standards, Russia, South America and other countries are demanding more and more.

The most fatal ones are increased costs.

Zhong Jianrong told our reporter that under the new standard, the toy factory needs to provide more detailed samples to the exporting countries for testing, and the increase of inspection fees is the biggest cost increase faced by many factories.

Zhong Jianrong calculated the accounts to reporters. If the value of a container is sixty thousand or seventy thousand yuan, the inspection that may not be necessary before the new standard must be carried out. The inspection cost of that container is about 3000 yuan, which is equivalent to 5% of the whole container value. "The increase of 5% of a container is almost all of the profits."

At the same time, due to the implementation of stricter safety standards, toy manufacturers must improve the quality of their products, which requires toy manufacturers to use good raw materials, and the cost of buying good raw materials will increase by more than 5%.

Monetary tightening

If the financial crisis in 2008 brought the Pearl River Delta enterprises the main demand is shrinking external demand, so this year, the cost increases, domestic demand shrinking and capital chain tightening and other mountains have made the enterprises overwhelmed.

Gong Richang, general manager of Shenzhen red GAHUA Technology Co., Ltd. wrote accounts to reporters.

The first is wage increases.

Their wage costs have risen by more than 35%, which is a great blow to those companies with relatively high labor costs.

Next is the price rise of raw materials.

Gong Richang said that the price of raw materials for some petroleum products increased by 10%~30% over the same period.

More importantly, this year's austerity gave the company a fatal blow.

What happens when the circulating blood is gone? More enterprises begin to recover money, reduce costs, and fight to pull out orders. In the last year's cost, they may lose 1 million of their money, but the cost may be 2 million in accordance with this year's cost.

According to Gong's daily understanding, 30% of the factories around him are in a difficult position to support.

Different views {page_break}

"Psychological panic is the majority."

Lingfeng, chairman of the GMC alliance of China's high quality manufacturers alliance, told our reporter that although China is known as the global manufacturing base, it can not be described as high-quality manufacturing enterprises.

Some factories are optimistic.

"It is not so serious that we fail to see too many factories closing down, which is more of a psychological panic."

Qi Xiaobin, director of Dongguan Chai Le toy factory, said he had been in a factory for 8 years in Dongguan for 12 years.

He also said that the new toy standards in Europe and the United States had little impact on some of the enterprises that focused on quality, though the fabric of flannelette toys increased by 10%.

Export situation

Exports of some products are not optimistic.

According to the data released in the two quarter, China's exports showed a certain fluctuation: exports increased by 30% in April, while exports increased again in May, while the year-on-year growth rate dropped to 19%.

From the preliminary data released recently, the new export orders index in the PMI index continued to decline in the past two months, indicating that China's exports in the three quarter will be affected.

Reporters yesterday interviewed Alibaba B2B company, from the perspective of the export index of Alibaba industry, the export situation of the machinery industry is still better than other industries, followed by the beauty care industry performance is also good; on the contrary, the export situation of gift crafts, computer hardware and software and sports entertainment industry is not very clear, especially the export of gift crafts industry will be very severe.

China's export index for the EU rose somewhat in November last year, but lower than the average of China's global export index. The trend in the first and two quarters has been lower than the global average, indicating that China's exports to the EU in the three quarter will not be stronger.

From the main export industries to the European Union, it is predicted that the export of machinery products and beauty care industry to the EU will be relatively good in the three quarter. On the contrary, export indexes such as communication products, gift crafts and consumer electronics will be weakened.