China Made The London Olympic Games 65% Authorized Products From China

London Olympic Games opened the curtain. Apart from the huge Chinese delegation's attention, China, with its "made in China" reputation, became the main supplier of the London Olympic games behind the event.

65% of all authorized commodities in the 2012 Olympic Games were made in China.

Yes, they may have low profit margins and no brand effect.

But when the global economy is in recession and China's industry is facing an unprecedented crisis, it is very necessary for us to applaud the insistence on "made in China".

"Made in China" occupy London Olympic Games

From the opening ceremony of the opening ceremony of the London Olympic Games, the fireworks display to athletes from various countries is worn.

Most of the souvenirs purchased by tourists are labelled "made in China".

Only Chinese made fireworks can meet the requirements of the opening ceremony designers. Only Chinese enterprises can make customized entrance gowns in a short time.

Made in the US VS China manufacturing storm

Fawkes news network reported in the United States, "no matter how many gold medals China and the United States win in the Olympic Games, at least on the opening night, China has won the gold medal from the United States - by making the uniform that the US team will wear during the opening ceremony."

In the early July, the clothing industry caused a great stir in the United States because of its "made in China" origin, and Senate majority leader Reed even threatened to burn it all.

Obviously, Reed's remarks are nothing more than "posing", and the politicization of Olympic costumes is rather ridiculous. We can even imagine how Reed would feel when the American people watched the opening ceremony through the "made in China" TV set.

"Made in China" sparkle in London Olympic Games

In short, whether the US politicians like to make in China, the London Olympic Organizing Committee and the participating teams are very popular with China.

This is the Dayang group of Dalian for the US team.

In the 2008 Olympic Games, the company has already made a uniform for the US team. 80% of the products of the company are OEM for famous foreign suit brands, and 5 million suits are exported annually.

The entry of the host British team, as well as the London Olympic Organizing Committee officials and umpire clothes, total 11 thousand suits, is produced by a garment manufacturer in Yantai, Shandong.

In Yiwu, a world famous for its small commodities, Zhejiang has captured many kinds of licensed products such as towels, bedspreads, quilts, decorations, key rings, clothes and so on.

Even hand flags, hand trumpets, right angle trumpets, hats and artistic glasses will also become the "top guests" of the London Olympic Games.

Often, such important events as the Olympic Games, there are problems such as short order time and high manufacturing process requirements. Only in the short term can China's manufacturing enterprises achieve the design and production standards.

Under the current circumstances, the "non price competitive advantage" made in China is becoming increasingly prominent and will maintain the stability of foreign trade.

At present, China has 39 industrial categories, 191 middle classes and 525 sub categories. It is the only country in the world that possesses all the industrial categories of the United Nations Industrial Classification, thus forming an industry system that is unique and comprehensive.

Made in China is hard to replace

Yes, Chinese manufacturing is often associated with Shanzhai, small profits, and lack of brand names.

Moreover, with the rise of domestic costs and the continued appreciation of the RMB exchange rate, the cost of manufacturing in China is no longer cheap. Even the foundry enterprises such as Adidas have moved their factories out of China.

Don't blame China for making small profits.

So many "made in China" can appear in the Olympic merchandise market, this is the glory of China's manufacturing industry, but because of "China made" technology content is not enough, the product grade is low, unavoidably encountered some embarrassment.

Low price - price competition - trade friction - export restriction - capital shortage - upgrading the product structure is limited. This is a strange circle that is "made in China".

Many Chinese enterprises still rely on sample processing and incoming processing, and product design, production raw materials and processing equipment rely mostly on imports. This leads to the fact that "made in China" accounts for over 65% of the London Olympic Games, and Chinese enterprises can only share small profits.

China has the trade volume of the developed countries, but has the trade structure of the developing countries. The brand determines that China is only a trading power rather than a trade power.

To reverse this passive situation, it is not achieved by a small number of famous brand products and short time quality assurance. Instead, it requires a large number of enterprises to maintain and improve product quality consistently, and at the same time, it needs the support from the state, rather than just doing advertisements on large screens.

PMI data show that China's manufacturing industry is improving.

However, this does not mean that the "Reindustrialization" of the United States in Southeast Asia, India or central Europe can replace China.

The shift of industry pfer caused by rising cost is indeed severe. But for the decision-makers of manufacturing industry, the pfer of production business from China will be very slow. In the short term, there is a large probability that buyers will leave China without much chance.

This can be seen from China's PMI data in recent months, especially in HSBC PMI, which reflects the operation of SMEs. In July, the preview value rose to 49.5, which has improved significantly.

The most important reason is that any possible substitute is not as good as China in terms of scale production.

For example, Chinese manufacturing has a 95% share in the global toy market. This huge capacity means that any competitor who wants to achieve a challenge to China's manufacturing needs a lot of upfront costs.

For them, considering that the profits of the manufacturing industry are not very rich, the cost of investing these costs may not be too high.

Moreover, the production of any product can not be completed by a single factory, and the whole industry chain needs to be divided and worked together.

After a long period of development, China's manufacturing industry is far more complete than the other competitors in the industry chain.

In addition, China has a large number of skilled and skilled workers, and the managers of enterprises are also more suitable for organizing large-scale production.

But for other countries, the bottleneck of human resources can not be compensated in the short term, and it needs accumulation and precipitation in the medium and long term.

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Economic cold winter, "made in China" is the sole banner of industrial development.

At present, the European debt crisis is becoming more and more serious, and the global economy is suffering from recession. China is also hard to avoid.

Whether it is a sluggish investment or a sluggish foreign trade or a bleak electricity consumption, it shows signs of a slowdown in China.

Contribution tax to employment

Since last year, the government has started a deep reform of the tax system, launched the property tax from the beginning of the year, and lighten the burden on the small and micro enterprises by the end of the year, which has reduced the burden of the real economy on the surface.

In fact, in addition to 17% value-added tax and 25% enterprise income tax, physical enterprises need to pay urban construction tax, education tax addition, local education development fee, price adjustment fund, levee fee, property tax, land tax, stamp duty, housing rental tax, trade union funds, disabled persons fund, plus all kinds of fees and fines, the actual tax burden of enterprises has exceeded 30%.

In the hot winter of this winter, we unexpectedly discovered that according to the Ministry of human resources and social data, 6 million 940 thousand new jobs were completed in the first half of this year, with 77% of the total target of 9 million people in the whole year.

And correspondingly, as early as 2010, the average cost of enterprises has risen by 50% to 60%.

Their products are fiercely competitive, cost rising but hard to raise prices, facing enormous pressure of survival.

This credit can not be counted on state-owned or state holding enterprises. Their staff remain basically unchanged or their growth is very limited, while private private enterprises adopt flexible solutions when the economic environment is not good enough.

The shortage of orders will reduce work hours and overtime work, and negotiate with employees to reduce wages.

In contrast, when some industries that had been overstretched during the financial crisis, especially those such as wind power and photovoltaic industries such as Sinovel and LDK Jiangxi, still had a wave of layoffs after enjoying a large amount of government subsidies and large amounts of financial capital investment.

And companies like Sany, which benefited from the massive "4 trillion" stimulus program, also heard news of layoffs in the context of economic slowdown.

It is those "small profits" that enable these enterprises to keep jobs and maintain stability.

The temptation of the property market and the irony of "shirts changing planes"

And these processing and manufacturing enterprises are suffering from all kinds of miscellaneous taxes that are disguised to normalize. They have to endure the temptation from private finance and resist the temptation to invest in the property market. The most difficult decision for them is that the profit rate in one year may be as good as buying two houses in Shanghai.

They want to ask the banks for alms, and bear the ridicule of economists and the media. The biggest shame is the comparison of the so-called "800 million shirts for a Boeing aircraft".

The overall backwardness of the country should not be borne by an industry.

They also need to investigate the sweatshops of overseas media and organizations. Once the investigation is stopped, the workers' livelihood will be carried on their shoulders. The private capital investment rules they are looking forward to have not been listed below.

Conclusion

"Made in China" not only supports the successful hosting of the London Olympics, but also shoulders the shoulders of the Chinese economy.

These middle and low end manufacturing enterprises are suffering. They tread on the journey of pformation with fear and fear. Most of them become capital cannon fodder, or they can roll their money away. Only a handful of them can become industrial capitalists.

But the world is inseparable from "made in China", and China is more dependent on "made in China".