HUAWEI Wants To Pform Its Shoes

To help enterprises out of the collapse crisis and the successful pformation of the Pearl River Delta region, the government of Dongguan has set up 6 industrial pfer industrial parks.

Under the effect of a Domino domino effect, the press survey was informed that whether it was recruitment difficulties or business failures, they were only a representation of the economic pformation in the Pearl River Delta region. An unprecedented economic upgrading, urban upgrading and even upgrading of human resources were quietly coming.

With the adjustment of local government policies, labor intensive industries are no longer the excitement of economic growth. As one of China's economic engines, PRD enterprises are reshuffling.

The city of Houjie, a town with a history of more than a thousand years, is now known as the world's shoe capital. Dongguan is a city with a history of more than 1000 years.

Since the 90s of last century, local shoe factories have been established, hundreds of shoemaking enterprises and related supporting enterprises have set up factories in Houjie.

The most famous collection of shoes, shoes, materials, shoes and trade is one of the 20 bases of the ho shoe shoe Plaza.

According to Mr. Ho, the building manager who has stayed here for 6 years, the shoe material market is the first specialized shoe material market in Dongguan, which has just opened in 2005, attracting a large number of merchants to enter.

By 2006, the shoe material market reached its peak.

Not only are all the shops occupied by shoe manufacturers, shoe material suppliers and traders, but all office buildings are all rented out.

But from the second half of 2007, newspapers began to report on the failure of shoe factories. The shoe factory went bankrupt and went to shoe material suppliers, and some shoe materials suppliers continued to rent out and rent until now.

Since the end of last year, enterprises have moved or threatened to move out almost every other month, and at most, five or six enterprises have moved away.

Liang Jiayao, a Hong Kong businessman who opened a shoe factory in Dongguan 18 years ago, said that as early as the end of last year, his shoe factory had basically closed down, and over 600 employees had been disbanded nearly 400.

The labor contract law, which was implemented in January 1st this year, is a fatal blow to the factory. The cost of employing the shoe factory will increase by 20% according to the law, which is unbearable for the shoe factories whose profits are only about 5%-8%.

It is reported that with the relocation of manufacturers, local catering, pportation, retail and service industries in Dongguan are affected to varying degrees.

Some experts believe that the main indicators of a regional economic barometer can be seen in the leasing industry and the service sector.

Li Peng, Secretary General of the association of Asian footwear industry, told reporters that the implementation of the labor contract law will cause shoe enterprises to invest more than 130 yuan per worker per month on average. The cost of sharing the shoes to each pair is increased by 1 yuan, which has a great impact on enterprises with low added value.

It is understood that in the tide of the relocation of enterprises in Dongguan, most of the factories that pfer or collapse are labor-intensive factories. However, many technology intensive enterprises are still staying in Dongguan. Besides the core of the industry is still in Dongguan, they rely on high technology and high efficiency to upgrade their industries in Dongguan.

Experts interpret the re shuffling is conducive to industrial pformation for enterprises to face all kinds of crises, Liu Jianghua, vice president of Guangzhou Academy of Social Sciences, showed a relatively optimistic attitude.

He believes that for the Pearl River Delta manufacturing center in the past thirty years, the severe test is how to pform the labor-intensive enterprises.

Although this is a painful process, it may affect the economy of a region to some extent, but this is a central task conducive to the pformation of the government, and it is also a driving force for pformation.

The voice of the industry calls for the pformation alarm to face all kinds of economic conditions. Some economic personages have appealed in an interview with reporters, hoping that enterprises will quickly face up to the problem and intensify their pformation, otherwise there will be only one way to die.

Liang Bai, director of the Hongkong economic and Trade Office in Guangdong, predicted that in the next two years, the 8 Pearl River Delta processing trade oriented Hong Kong enterprises are facing the choice of life and death.

To this end, he appealed to Hongkong enterprises to upgrade or pfer as soon as possible, the sooner the better.

The Pearl River delta needs to say goodbye to the government's response to the "shortage of migrant workers" and the collapse of enterprises since the second half of 2007. The Pearl River Delta has become the focus of the thirty years.

The local government has already prepared for this.

Planning to bid farewell to labor-intensive industries in a press conference held in Dongguan in January 24th, each participant was given a piece of information, including 17 focal points, and asked for answers.

This includes how to cope with price rises, the actual situation of outward migration, the impact of processing trade policy adjustment on Dongguan, and how to deal with the risk of Industrial Hollowing.

Through the answers to these 17 questions, the Dongguan municipal government has indicated to the public that the government's development strategy for a period of time is the "double pformation" mentioned by the government's leading group and the labor intensive industry.

"This is actually a macro adjustment plan made by the provincial Party committee of Guangdong provincial government in 2005."

Liu Jianghua, vice president of the Guangzhou Academy of Social Sciences, told reporters that Guangzhou, Dongguan and Shenzhen, the cities in the Pearl River Delta are making efforts to bid farewell to its past thirty years and bid farewell to the road to rely on the development of labor-intensive industries.

Setting up 6 industrial pfer industrial parks in the closing of the factory in Dongguan, some manufacturers complained that the local government did not take any measures to help except complain about the implementation of the new labor contract law and all kinds of rising prices.

Liu Zhanhao, vice president of Hongkong Federation of industry, said, in fact, the Dongguan municipal government has set up 6 industrial pfer industrial parks to help enterprises pfer industries, and some high-tech industries have been pushed to the economic front as a benchmark.

Among them, Songshan Lake hi tech Industrial Park is attracting attention, because there are definite sources that Shenzhen HUAWEI R & D center will be located in Dongguan Songshan Lake Science and technology park.

Some people familiar with the matter believe that this will be a model for Dongguan's pformation.