Fujian Export Enterprises Seek Solutions

Fu'an mechanical and electrical enterprises charter flights to Beijing to purchase technical electromechanical products is Fujian's largest export commodity. Fu'an is located in Northern Fujian Province. The output of small and medium sized motors accounts for about 1/3 of the same products in the country. Currently, there are about 700 electrical and electrical enterprises and more than 50 thousand employees. The main products are four categories: motors, generators, pumps and electronic medical devices. RMB appreciation has begun to affect Fujian's electromechanical enterprises. Chen Shaobo, chairman of Ambo motor group, said: "the quality of Ambo products is stable, but to deal with the adverse effects of RMB appreciation and labor cost increase, it is more and more important to build brand and upgrade technology." An expert commented that with the increase of the unfavorable conditions of the external market environment, the potential "technology short board" began to show that the homogenization of products in Fu'an enterprises was more common and overall in the domestic level. If the enterprises could not find the endogenous growth point in time, the motor industry might face the risk of decline. Fujian recently held the "Fu'an motor special docking meeting" of the Straits project outcome fair in Beijing. More than 120 people from 54 electrical enterprises in Fu'an have charter flights to Beijing. Their purpose is to purchase advanced technology. It is the first time for such a large group of enterprises to go out and look for difficulties in Fujian. Many electrical enterprises in Fu'an have begun to show their talents and find new technologies and talents. Pay attention to improving the added value of products through innovation, due to the pressure of RMB appreciation and other factors, other industries have begun to seek breakthroughs. A foreign trade company in Fuzhou exported $1 million worth of goods to the United States last October. At that time, a US $1 million was worth 7 million 500 thousand yuan, but by now, the export was less than 7 million yuan. The loss of 500 thousand yuan will make the company lose all profits. Because of the continuous appreciation of RMB, labor-intensive industries even began to export at a loss. According to the insiders, the appreciation of the renminbi really reduces the price advantage of the export products, but in turn it will promote the upgrading of the industrial structure and gradually eliminate the products with low technological content. Fujian enterprises can take advantage of the opportunities brought by external pressure to upgrade their products. Traditional industries with low profit margins can only give up development. Guan Xiuhua, Secretary General of the Fujian Textile Industry Association and the provincial clothing and apparel industry association, said that enterprises should increase the added value of products through innovation, take the new, high-end, and brand lines, and accelerate the integration of other enterprises by the advantageous enterprises. This is the best way to deal with the current market environment. In upgrading the added value of products, the footwear industry in Jinjiang has been guided and supported by the local government. Statistics show that in the past year, due to the increase of raw material prices and labor costs, the EU anti-dumping and RMB appreciation, the number of footwear exports in Jinjiang has declined, but the amount has risen. The average unit price of export footwear has increased by 20% over the previous year, and the capacity for sustainable development has increased significantly. The average export price of clothing in Fujian has also risen. This is due to the development and promotion of new technologies and products in the garment industry. Faced with the appreciation of the renminbi, some enterprises in Fujian have begun to use Renminbi or euros to settle accounts. To invest abroad and establish an independent sales network, from a long-term perspective, in addition to enhancing the added value, RMB appreciation is also an opportunity for Fujian enterprises to "go out", and more and more Fujian enterprises are stepping into the tide of "going out". "The number of foreign direct investment enterprises newly approved has reached more than 60 last year. This year, the number of overseas direct investment will increase, and the growth rate of overseas investment projects will increase significantly. Only a few years ago, only a few years ago." People in the Department of foreign trade and economic cooperation said that Fujian's outward foreign direct investment has seen an accelerated development. Last year's actual investment amounted to 136 million yuan, an increase of 198% over the same period last year, and the ranking in the whole country rose from seventh to fourth. The focus of foreign investment of Fujian enterprises is to set up foreign trade companies, so as to realize the deep development and utilization of the market by establishing an independent sales channel and network so as to enhance the added value of the products. People from the Ministry of trade of the overseas Chinese industry group believe that as long as there are comparative advantages, enterprises should conduct transnational operations, take the initiative to participate in various forms of international economic and technological cooperation and competition, expand their development space, and cultivate themselves into powerful multinational enterprises and famous brands. We should not only focus on the market of developed countries, "not all places are suitable for Fujian enterprises." A customs expert in Fuzhou believes that Fujian enterprises should invest in Vietnam, Laos, Burma, Kampuchea, Indonesia and other countries such as Africa and Latin America as a springboard to enter the international market. The developed countries in Europe and the United States have more relaxed restrictions on products from these countries, which can help enterprises avoid anti-dumping accusations, and Fujian enterprises can enter Europe and the United States by investing in production lines in these countries. Market. Fujian's overseas investment is still in the exploratory stage, and some backbone production enterprises and industry leading enterprises have not yet taken substantive intervention. The "going out" of Fujian enterprises is not yet a form of expansion and transnational operation. Most foreign investment is still in a relatively backward country seeking to make saturated products continue to exist. Fuzhou customs officials said that from the choice of trade object, Fujian enterprises should not only focus on the developed countries such as the United States, but should expand the multinational market, and Latin America, Russia, India and other markets also have a large number of business opportunities, which can maintain trade balance and sustained growth. Miss Zhou, a group responsible for export in Fujian, said that the group has been committed to improving its brand image and playing a leading role in the middle and high-end market, so the profit margin is much better than that of other garment manufacturers. But in addition to expanding overseas markets, the domestic market is also accelerating development, in order to reduce the risk of volatility in overseas markets.