Suffer From Unprecedented Cold Current, Guangdong Shoe Enterprise, Leave Two Is Not Easy!

The cost of local development is too high. It is not an alarmist topic to set up factories and chains in other places. Guangdong shoe enterprises are suffering from an unprecedented cold spell.

In the first three quarters of this year, there were about 1000 shoe factories and supporting enterprises in Guangdong. They were shut down or closed up by various courts or courts, or moved elsewhere.

"The footwear industry in China, especially the footwear industry in the coastal areas, is facing unprecedented challenges and must accelerate its strategic pformation."

Asian Footwear Association Secretary General Li Peng said.

In the development of the world footwear industry, Guangdong footwear industry has been playing the leading role for many years.

But in recent years, "labor shortage", "electricity shortage" and "oil shortage" have followed. Bottlenecks in land, labor and energy allocation have led to the development of the footwear industry in Guangdong into a high cost era.

Guangdong's shoe makers also worry about the continued appreciation of the renminbi appreciation and the processing trade policy.

So, in addition to some companies choosing to close in desperation, others began to try to move to less expensive areas.

In Guangdong, shoe companies are mainly concentrated in cities such as Huizhou, Dongguan, Guangzhou, Heshan and Zhongshan, with a total of five thousand or six thousand.

The data obtained by reporters from the Asian Footwear Association show that there are about 1000 shoe factories in Guangdong.

Among the more than 3000 shoe companies in Huizhou, the current situation is not optimistic. In the recent two or three months, small and medium-sized factories have closed four hundred or five hundred.

Zhu Weiping, Executive Deputy Secretary General of the footwear association of Asia, told reporters the day before yesterday that the labor contract law will be implemented from January 1st next year. According to the new regulation, some shoemaking enterprises must invest a large amount of funds, which is no doubt exacerbated by labor-intensive shoemaking enterprises.

"The survival of the fittest, the survival of the fittest, this is the natural law."

Zhu Weiping believes that the cold current is threatening and the situation is grim. "But the dominant position of China's footwear industry is still unheard of at present."

Of the more than 14 billion 800 million pairs of manufactured shoes manufactured by the world last year, Asian shoe manufacturers produced 13 billion 500 million pairs, of which more than 60% came from China's Guangdong.

There are many factors that make up the shortage of talents. This is the first bottleneck that troubles the development of footwear industry in Guangdong.

A few days ago, the labor market in Houjie, Dongguan, conducted a thorough investigation of the footwear industry in Guangdong. The results showed that the talent gap in the footwear industry was quite large, and the number of people in Dongguan alone reached tens of thousands.

"Now Guangdong shoe manufacturers are very difficult to recruit.

In the past few years, the monthly salary was only eight hundred or nine hundred yuan, and now it is more than 1000 yuan.

Zhu Weiping said, "the average monthly wage cost in Jiangxi, Anhui, Hunan and other places is about 200 yuan cheaper than Guangdong, so Guangdong often has 1000 people's factory recruited only 35 hundred people, which limits the production of shoemaking."

At the same time, with the rise of shoe industry in Jiangxi, Sichuan, Hunan and Jiangsu and Zhejiang provinces, some of the shoe technology workers and migrant workers were shunted. Some factories that could not support Guangdong could only be closed down.

The lowest monthly wage standard of Dongguan footwear enterprises in 2002 is 450 yuan, now it is 690 yuan, and it has increased by more than 50% in five years.

In fact, the monthly salary of workers in the Pearl River Delta is far higher than the figure, ranging from 1000 yuan to 1500 yuan.

But even so, recruitment is still difficult.

Obviously, cheap labor is no longer easy to find in the Pearl River Delta.

For enterprises, in addition to rising labor costs, pressure also comes from rising raw material prices, water and electricity charges, factory rents and so on.

A shoe maker said that the raw material of copper buckles, copper, has surged to more than 60 thousand yuan from 20 thousand yuan per ton in early 2004.

Most of the shoe companies in Dongguan are agent processing. "Processing fees have not risen, and product prices have not risen simultaneously. The cost of factories has risen a lot."

Many shoe companies are simply unable to move on because of this. "

Besides, the new processing trade policy is also unfavorable to the development of shoe enterprises.

"In August this year, the state expanded the catalogue of processing trade restrictive commodities." in the eastern part of the country, processing trade needs to be carried out by bank guarantee, and the central and western regions do not have such a restriction. The capital cost of enterprises in the eastern region has increased by more than 10%.

Zhu Weiping said.

In addition to the above factors, Chinese shoe enterprises are also facing the severe test of foreign anti-dumping.

In October 2006, the EU imposed a 16.5% high anti-dumping duty on Chinese leather shoes enterprises for two years.

In June 2007, Taiwan also imposed 43.5% anti-dumping duties on 6 types of footwear products in the mainland.

According to the insiders, "if the euro does not appreciate faster this year, the domestic shoe enterprises may suffer from the disaster."

To migrate in the field and reduce costs, many factors are integrated into a cold spell, attacking Guangdong shoe enterprises.

Many shoe companies have moved south to the north, and some have even turned their attention overseas to Southeast Asia.

Wang Ying, Secretary General of the China Light Industry Crafts Import and Export Chamber of Commerce, told reporters that in order to solve the risk of rising costs, some large shoe factories are decomposing and pferring to cheaper countries and regions such as Vietnam, India, Indonesia and Kampuchea.

The city of Ganzhou in Jiangxi Province, close to Guangdong and the Guangdong Jiangxi expressway, is closer to the distance from Guangdong.

The unique geographical advantages have attracted the attention of a large number of Guangdong enterprises.

There are more than 200 foreign enterprises settled in Ganzhou economic and Technological Development Zone, of which more than 120 are pferred from coastal gradient, mainly labor-intensive enterprises.

Zhang Huarong, President of Huajian group, China's largest female shoe manufacturer, is the first shoe owner in Guangdong to eat crabs in Ganzhou.

5 years ago, when the Ganzhou economic and Technological Development Zone was still a wasteland, Zhang Huarong came to Ganzhou from Dongguan and set up a new shoe production line.

In Zhang Huarong's view, shoe industry is a typical labor-intensive enterprise. With the increase of labor costs in coastal areas, it is bound to shift to cheaper labor areas.

Tu fire, deputy general manager of Ganzhou Huajian international shoe city limited, said that in Ganzhou, where their labor costs have been accelerated, the per capita monthly salary is still about 300 yuan cheaper than that in Dongguan, and the cost of hydropower is also much lower.

"In Ganzhou, only 0.68 yuan per kilowatt hour, Dongguan is 0.9 yuan, Ganzhou's water is 0.9 yuan per ton, Dongguan is 1.5 yuan."

Two years after he moved to Jiangxi, Zhang Huarong once again extended his tentacles to Guangdong and built two shoe making lines in Vietnam, where labor force is cheaper.

"Vietnam's labor cost is about 3/5 of our total."

According to the statistics of the footwear association of Asia, about 25% of the shoe enterprises in Guangdong now have factories in Southeast Asia, such as Vietnam, India and Burma. About 50% of them are located in inland provinces such as Hunan, Jiangxi, Guangxi and Henan. Only about 25% of the enterprises are still on the sidelines.

In fact, the north of the shoe industry is a microcosm of the big migration of manufacturing and manufacturing enterprises in the Pearl River Delta.

Is pfer the only way out?

Is pfer really able to revive the manufacturing enterprises in crisis?

The huahuajian shoe industry has two production lines in Vietnam, accounting for 1/10 of the total capacity of the company.

Although the labor force here is cheaper, Zhang Huarong did not plan to further expand Vietnam's production line. He wanted to continue to wait and see.

"Vietnam has an advantage over labor costs, but there are many aspects of Vietnam that are not as good as our China.

What's more, they can't match us as a whole. "

It is very inconvenient for them to pport their shoes and raw materials and accessories from Vietnam to Dongguan.

Zhu Weiping said that since last year, the footwear association has organized the leaders of Guangdong shoe enterprises to inspect India, Bangladesh, Vietnam, Burma, Kampuchea and other countries. "Let the bosses of Guangdong shoe enterprises know that in those countries, labor costs seem to be relatively low, but they are facing big problems in the industry chain matching, skilled workers and management.

Also, the development of footwear products in those countries is almost zero. "

For the shoe manufacturers in Guangdong who migrate inland, they often encounter problems such as inadequate local industry support and increasing pportation and logistics costs.

Zhu Weiping said, in fact, where to go, actually many shoe factories are now at a loss.

Because there are many failed examples abroad, and there are many unsuccessful examples in the mainland.

Dongguan Houjie Town footwear export occupies 1/3 share of Guangdong province. It is known as "world shoe factory". Houjie Town is building the world shoe industry (Asia) headquarters base.

Houjie Town brings together almost all shoe makers and two thousand or three thousand shoe making enterprises in Taiwan, Wenzhou and Guangdong, including more than 1000 Taiwanese enterprises, mainly producing two categories of brand sports shoes and high-grade leather shoes.

Although many enterprises began to move outside, Chen Zhongqiu, mayor of Houjie Town, did not seem worried.

Chen Zhongqiu said, at present, the pfer is only a low value-added manufacturing process, and the core technology R & D and procurement trade remains in Dongguan. For this reason, the output of Dongguan shoes accounts for about 1/4 of the country's total, accounting for about 1/10 of the world's total, and there are over 1000 purchasers in the international shoe industry in Houjie.

Although the production cost of shoe manufacturers in Guangdong is constantly improving, many shoe companies do not plan to leave because no industry chain in one place will be as perfect as Guangdong.

In Guangdong, all the shoe materials of shoemaking are concentrated in a very close area.

Technological innovation is the way out. Statistics show that 60% of the annual output of the world's leading footwear brands is produced by Guangdong shoe manufacturers.

Zhang Huarong said that in the past, they had been making export orders to large foreign brands, earning a small profit from the processing links, and a pair of shoes could only earn one or two dollars, and the average export price of these shoes was about 14 dollars.

"But now our shoes are exported to the United States, which is about 50 to 70 dollars."

He said, before there was no brand, to work for others, it is indeed a hard job.

In a product, an enterprise may earn a few cents, while others earn tens of dollars. The reason why there is such a hundred fold difference lies in whether or not there is a core technology of its own.

Experts believe that after the loss of the low cost advantage of the manufacturing enterprises in the Pearl River Delta, the first thing to do is to improve the technological content of the products and create their own brands.

At the end of last month, at the world footwear forum held in Dongguan, Zhang Huarong expressed his views on the five words of "world weight", "Chinese quality", "technical content", "brand energy" and "national strength", and won the resonance of the top shoe companies.

Zhang Huarong said, "China is already the world's largest shoe producing country, exporting country and consumer country, occupying 68% of the world market, but it has not 68% of the weight, and the pricing power is in the hands of foreign investors.

In the future, we should gradually gain the right to speak and gain the respect that the world should have.

Liang Yaowen, director of the Guangdong Provincial Department of foreign trade and economic cooperation, said that not only the shoe industry, but also for the large number of processing enterprises in the Pearl River Delta, there is only one way out for the future.

That is, "only technology development is the way out for enterprises. No technology is always controlled by others".

We must take market demand as the orientation, technological innovation as the driving force, speed up the strategic pformation, and strive to improve the technological content and added value of shoes products, and pform to technological advantage.

The Guangdong footwear industry has been playing the leading role for many years.