Guangdong Footwear Exports Decline To Enhance Product Quality Is The Way Out

Shoes are China's traditional export products with advantages and are also one of the main export products of Guangdong.

According to the statistics of Guangzhou customs, 1-2 pairs of shoes exported from Guangdong in this year decreased by 27.5%, valued at 1 billion 590 million US dollars, down 0.6%. The average export price was 3.2 US dollars / double, up 37%, showing a trend of price reduction. The main characteristics of its exports are as follows.

1. Exports of general trade declined rapidly.

In 1-2 months of this year, Guangdong exported 240 million pairs of shoes in general trade mode, down 40.3%, accounting for 49% of the total export volume of Guangdong shoes in the same period. 200 million pairs of shoes exported by processing trade decreased by 10.5%, accounting for 40.8% of the total export volume of Guangdong's shoes in the same period.

Two, private enterprises and foreign investment enterprises still account for more than 70% of exports, but they all show a decline.

Three, exports to the US and Hongkong have declined, and exports to the EU have increased significantly.

In the 1-2 month of this year, Guangdong exported 190 million pairs and 47 million 30 thousand pairs of shoes to the United States and Hongkong respectively, which decreased by 12% and 76.6% respectively; exports to the EU 88 million 270 thousand pairs, increased by 32.6%, and the total volume of exports to the above 3 markets accounted for 66.4% of the total export volume of Guangdong's shoes in the same period.

1-2 months this year, the decline of Guangdong shoe exports is mainly affected by the following factors: first, the impact of the export tax rebate rate adjustment policy.

Since July 1, 2007, the state has reduced the export tax rebate rate of footwear products by 2 percentage points, because the profit margins of shoemaking enterprises themselves are relatively low, and the reduction of the export tax rebate rate has further increased the operating pressure of enterprises.

After the tax rebate rate was lowered, the export of footwear enterprises in Guangdong was obviously affected. Since September 2007, the monthly export volume of footwear products in Guangdong has been declining continuously, of which the single month decreased by 18.5% in November, the highest monthly export volume in 2007.

This year, the monthly export volume of footwear products continued to decline in Guangdong. In January, 290 million pairs of exports decreased 20.3%, and 200 million pairs of exports decreased by 35.7% in February.

Two, the footwear export enterprises in the Pearl River Delta region have been substantially reduced.

The Pearl River Delta region is the pronoun of "world factory". The processing trade here is booming.

But with the introduction of the new labor contract law, the aggravation of the tax burden of foreign-funded enterprises and the constantly strengthened RMB exchange rate, the labor intensive enterprises in the Pearl River Delta region have gradually been trapped in soaring costs and increasingly strict supervision, and the profit margins have been seriously squeezed.

The footwear export enterprises in the Pearl River Delta region have been greatly reduced.

In the 1-2 month of this year, 1512 enterprises in the Pearl River Delta region participated in export shoes, 1855 less than the same period last year.

Among them, the number of private enterprises decreased by 1484 compared with the same period last year, the number of foreign-invested enterprises decreased by 92, and the number of state-owned enterprises decreased by 23.

The three is the impact of the US subprime mortgage crisis.

Since the US subprime mortgage crisis broke out in March last year, the US consumer index has slipped for a while, and Guangdong footwear enterprises have slowed down their exports to the United States.

In 2007, Guangdong exported 1 billion 80 million pairs of shoes to the United States, a slight decrease of 3.4%. Guangdong exported shoes to the United States continued to decline in 1-2 months this year, and 190 million pairs of shoes exported to the United States dropped 12%.

The four is the impact of foreign trade barriers such as anti-dumping.

In October 7, 2006, the EU imposed anti-dumping sanctions against Chinese leather shoes and imposed a 16.5% anti-dumping duty on leather shoes originating in China for a period of 2 years.

Affected by this, in 2007, Guangdong exported 77 million 770 thousand pairs of leather shoes to the EU, which dropped by 6.5%. In 1-2 months this year, Guangdong exported leather shoes to the EU, showing a decline, and exports 13 million 300 thousand pairs, down 17.5%.

At the same time, Pakistan, Peru, Venezuela, Canada and other countries have also taken anti-dumping measures on China's footwear products.

In view of the current difficulties faced by Guangdong shoe enterprises, enterprises should increase scientific research input in quality and design, improve product grades and raise the profit margin level of products, enhance innovation awareness, increase the creation of private brands, enhance brand international recognition, strive to develop new markets, actively develop domestic market, and resolve export risks.