Russia'S Accession To The WTO Will Bring Opportunities For Hebei'S Clothing And Auto Industry.

16 days,

"I am very concerned about this matter and I want to know more about it. I feel like an opportunity."

Liu Cheng, a sales manager of a local clothing company in Xinji, is a representative of the psychology of practitioners in many fields to deal with Russia's accession to the WTO.

China's accession to the WTO has two main advantages for Russia and its trading partners in Russia: first, Russia's overall tariffs will be lowered and its operating costs will be reduced; second, Russia must accept the general rules of international trade and fulfill its WTO commitments.

It is understood that Russia's import tariffs have been relatively high, after the accession to the WTO, the overall tariff level will fall from 10% to 7.8%, of which the total tariff level of agricultural products from the current 13.2% to 10.8%, the total tariff of manufactured goods will be reduced from 9.5% to 7.3%.

This provides us with a view to reducing import costs, expanding export potential and enhancing the share of China's traditional dominant commodities in the Russian market.

For Hebei, Russia is the eighth largest trading partner, with the exception of the European Union and ASEAN, Russia ranks sixth among the single countries, and the trade between China and Russia has shown a good momentum of growth this year.

According to the data provided by Shijiazhuang customs, the total import and export value of Hebei in the 1-11 months of this year amounted to US $49 billion 80 million, of which Russia accounted for us $2 billion 220 million, an increase of 37.6% over the same period last year.

Apart from agricultural and sideline products, clothing, textiles, footwear and household appliances have always been the main commodities of our exports to Russia.

Hebei's exports to Russia agree partially: clothing is the main product, followed by mechanical and electrical products (including cars).

Therefore, Russia's accession to the WTO will have the greatest impact on these two fields.

According to customs data, in the first three quarters of this year, Hebei exported 840 million US dollars of clothing and accessories to Russia, accounting for 56.4% of total exports.

Among them, fur clothing exports accounted for the majority, up to 550 million U.S. dollars.

As a sales manager of a clothing company in Xinji, Liu Cheng is very concerned about Russia's accession to the WTO.

Two years ago, Liu Cheng's company had a large share of its products exported to Russia, but now it has not done it because of tax and customs clearance.

Therefore, Liu Cheng is very concerned about whether the WTO accession will bring some changes to the Russian market.

Russia originally had some "local policies" such as "grey customs clearance", that is, customs clearance companies helped Chinese businessmen enter the Russian market at a rate lower than the legal level, while the Russian side brought in Chinese products in such irregular channels. On the other hand, they denied the legality of these policies, confiscated the commodities of Chinese merchants and caused great losses to Chinese businessmen.

After Russia's accession to the WTO, not only will tariffs be reduced, but also the customs management system will be more standardized under the WTO rules, which will make our enterprises legitimate.

However, for business operators as specific operators, the mentality of "grey" or "white" is realistic and contradictory.

Take Xinji as an example. A few years ago, the export of fur products to Russia was mainly based on "grey customs clearance", because it was not only low cost but also short time, and it could send goods to Russian merchants in less than 10 days.

While the "white customs" is a formal way, but on the one hand, the tariff is higher. On the other hand, it is even more troublesome that the procedures are cumbersome and the waiting time is long. Sometimes it takes a month to deliver the goods and lose the competitive advantage in time.

Therefore, for businessmen, they hope that after Russia's accession to the WTO, they can effectively open up foreign businesses and effectively enhance the efficiency of customs clearance.

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Liu Cheng said that since Russia began to crack down on "grey customs clearance" two years ago, the local market has gradually regarded the country's market as chicken ribs and marginalized it.

"Eighty or ninety of Xinji's domestic trade is now pferred, and only a small number of enterprises in Russia are doing so.

The market didn't understand because they didn't do it for a long time.

Liu Cheng said, "now shipped to Russia is a bit of gambling psychology, for example, there is a paragraph, I feel pretty good, do a wholesale in the past, sold to earn, can not sell it."

This argument is supported by another local practitioner.

She said that local exports to other countries were good, but the Russian market was harder to do, and only larger factories were supporting them.

It is understood that products such as Daying, Nangong, Suning and other fur producing areas also have products exported to Russia, which are more or less facing similar predicament.

Therefore, businessmen are generally concerned about the news of Russia's accession to the WTO.

Automobile: good and better in the medium and long term

Mechanical and electrical products are the second main categories of products exported to Hebei, including automobiles.

Statistics from Shijiazhuang Customs show that in the first three quarters of this year, the export of electromechanical products to Hebei accounted for us $290 million, of which 160 million were US $160 million for pport and 130 million US dollars for auto parts exports, with a growth rate of more than two times.

The news of Russia's accession to the WTO has also been closely watched by the automotive industry in Hebei.

The head of the Great Wall Automotive International Department said that for car manufacturers, the reduction of Russian import tariffs is certainly a great benefit. Moreover, after joining the WTO, the Russian auto market will be more fair and pparent, which is conducive to market competition.

However, unlike the general public, the official said that the reduction of tariffs is not obvious for the short-term benefits of Hebei and even China's auto companies.

The reason is that Russia's commitment to tariff adjustment is mainly aimed at vehicle, and now most of the domestic automobile manufacturers such as the Great Wall, Chery, and foreign Ford and TOYOTA are all choosing to open KD assembly plants in Russia. They will be assembled into vehicles after parts are shipped into Russia, so as to avoid Russia's high tariffs on vehicles.

"Even if Russia reduces the vehicle tariff to 15%, it is also lower than the duty of about 10% of parts export, so the direct benefit is not obvious."

It is understood that the majority of foreign manufacturers in Russia to adopt the form of KD assembly has its economic background.

Take China as an example, Russia was once the largest auto export market in China. But after the financial crisis in 2008, Russia began to trade protection, unilaterally adopted an independent import policy and unauthorized import tariffs on imported automobiles, resulting in a sharp decline in Russian exports to Russia.

Statistics show that since January 2009, Russia has increased import tariffs on motor vehicles and used cars, of which the import tax rate of new cars has been raised from 25% to 30%.

After joining the WTO, Russia will reduce the tariff of new imported small cars from 30% to 25%, and 7 years after joining the WTO, it will fall to 15%.

Therefore, the tariff reduction will be more obvious for some international brands and automobile manufacturers who do not adopt KD assembly strategy.

Labor export is expected to shine on "sunshine".

With Russia's integration with world trade rules, some areas that have been neglected have also changed, such as labor export.

Fan Zhongqing, chairman of Saint Ze Ji overseas employment and employment Co., Ltd., who is engaged in labor export, said that the market in Russia was not standardized. For example, if Chinese workers went to Russia for such high-risk jobs as construction workers, there was a general lack of insurance. This is also a major reason why Hebei's labor service export intermediaries are generally not interested in the Russian market.

After joining the WTO, the Russian side is also expected to change in this field.

In addition, the industry analysis, in the import side, Hebei imports from Russia mainly energy products, the proportion is not large, but there will be room for price decline.