China'S Advantage Is Still The Preferred Place For Footwear Giants.

Because of the rising price of manpower and raw materials and the pressure of RMB appreciation, a large number of shoe manufacturers in China have shifted their production bases.

Recently, Adidas has said that some production enterprises will be pferred from China to Southeast Asian countries such as India.

And Clacks, K-Swiss, Bakers and other international shoe giants have also increased production lines in Vietnam and Indonesia.

A shoe enterprise "pfer wind" quietly blowing up.

"The voice of Germany", the international giant's outward moving production line, reported on July 30th that Adidas, President of the famous sportswear brand, said in an interview with the media that at present, 50% of the sports shoes of the company are produced in China, and this proportion will decrease in the future because the current wage level in China has been rising gradually.

Haina said Adidas had already established its first plant in India, and then expanded to Laos, Kampuchea and Vietnam.

At the same time, the group will resume production in the original CIS countries and Eastern European countries.

In addition, Nike and Clacks have increased production lines in some Southeast Asian countries such as Vietnam and Indonesia.

Take Nike as an example, the company has worked with 50 Vietnamese factories, and nearly 1/3 of the sports shoes of the company are produced by these factories.

Li Peng, the Secretary General of the footwear association of Asia, said with emotion that some shoe companies in the Pearl River Delta region actually moved out in 2007, and about 25% of them moved to other Asian countries and regions such as Vietnam and India.

Recently, there are many shoe manufacturers running in Vietnam, Indonesia, India, Bangladesh, Kampuchea and other places, but most bosses seem helpless and helpless because Southeast Asia is not a low cost paradise for people to imagine.

The competitiveness of Southeast Asian countries is limited. India is currently the second largest footwear producer in the world, and 16% of the world's shoes are produced in India.

Since 2007, the price of raw materials for shoemaking has risen by 20%, and labor costs have risen by about 30%. In addition, China is facing the threat of US trade quota and the uncertainty of production factors is increasing. Therefore, shoemaking enterprises in foreign countries and Hongkong and Taiwan regions are looking for production bases around the world.

In particular, since the EU imposed anti-dumping measures on footwear products in China and Vietnam, India has become the country with the highest degree of foreign inquiry.

However, compared with China's footwear industry, raw material prices in India are higher, while labor costs are lower, quality level is generally lower than that in China. India shoe factories are many, and there are strong foreign investment enterprises, but most enterprises are not strong enough.

The lack of industrial chain restricts the development of the footwear industry in India, and the main market of the footwear industry in India is facing the domestic consumers, and the demand level is not high.

As for Indonesia, it is one of the eight largest exporters of shoes and socks in the world. The footwear industry is one of the pillar industries of its exports. It has made great contributions to the employment and export value of the country for a long time.

The world's two largest shoe giants Adidas and Nike have long-term cooperation in Indonesia.

However, there has been a reduction in Indonesian orders in recent years.

Last July, Nike announced that it would suspend orders with 2 large factories in the region because of poor quality.

Coincidentally, Adidas has also suspended contracts for Indonesian local suppliers this year.

This is mainly due to the slowdown in the US economy as the largest market in Indonesia's export footwear industry, falling demand and rising production costs.

The main reason is that the Indonesian government is unable to provide a good business environment for these enterprises.

As for Vietnam, the country is also vigorously supporting the footwear industry, encouraging foreign investment, and seeing the footwear industry as an important industry serving domestic consumption and exports, and striving to achieve 720 million pairs of shoes and 6 billion 200 million US dollars in exports by 2010.

Compared with China, Vietnam's labor force is cheaper, lower than China's 30%-40%.

The quality of products is almost the same as that in China, which is exported to Europe and America because the quantity is lower than that of China.

Moreover, the Vietnamese government advocates bilateral preferential cooperation mechanism, and export competitiveness is relatively large.

More and more foreign shoe companies are starting to run factories in Vietnam, which is becoming a trend.

However, due to the unstable social environment, Vietnam also has the problem of labor shortage, and the quality of workers is not high.

China is still the preferred producer in the global footwear industry. China is currently the world's largest footwear producer and exporter.

China's shoemaking enterprises produce more than 10 billion annual output, accounting for nearly 7 of the world's total.

However, since last year, due to many factors, such as preferential tax rate cancellation, rising raw materials, export tax rebate, RMB appreciation and labor cost increase, foreign shoe enterprises, especially a large number of weaker SMEs, are facing a survival crisis.

In the first 3 quarters of 2007, hundreds of shoe factories in Dongguan collapsed.

Nevertheless, Huang Chunming, Secretary General of Dongguan Leather Footwear Association and Secretary General of the footwear association of Asia, have expressed a positive attitude towards Li Peng.

Huang Chunming believes that, compared to the total volume of more than 4000 shoe factories, it is very normal to cancel two hundred or three hundred stores every year.

Li Peng also believes that this phenomenon is only the result of shuffling within the industry. There is no need to make a fuss, nor has there been a so-called "escaping" trend or trend.

In addition to the move, most of the shoe companies with little strength are not planning to withdraw from Guangdong or China because of current difficulties.

Qiu Xiaoguang, President of Guangdong Footwear Manufacturers Association, said that after more than 20 years of accumulation, Guangdong has become a global footwear business center and shoe making material supply center. The industry is well matched, and the cost of raw material procurement is relatively low. Enterprises have strong capabilities in R & D and production and market expansion.

Adverse factors have great impact on small plants and little impact on big factories.

"Even if the industry is pferred, it is best to stay in the vicinity of the Pearl River Delta, with better infrastructure and lower pport costs."

Recently, at the Foreign Investment Symposium held in Guangzhou, many Hong Kong businessmen and Taiwanese businessmen also indicated that factory pfer was the first choice in Guangdong province.