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Mid And Hong Kong Funded Low And Medium Shoe Enterprises Are Expected To Get Out Of Difficulties
The owners of the Hong Kong enterprises in the Pearl River Delta are most clear about the immediate business situation. They said that quite a few enterprises had no orders or only 1 to 2 months of short-term orders, which were in a state of shutdown or semi shutdown. Even though transformation could not solve the problem immediately, some footwear enterprises predicted that the situation would improve by the middle of the year, especially those with medium and low grade products. He Guangjian, chairman of the Dongguan General Chamber of Commerce and chairman of the emerging group, said that the Pearl River Delta, especially Dongguan, was more seriously affected by the financial crisis. The overseas orders of some Hong Kong enterprises decreased by 20% to 30% compared with the previous ones. Some of them were as high as 50%, while the annual output value of many Hong Kong enterprises also dropped from the previous 10 million yuan to the current 2 million to 5 million yuan. Some of the owners of the Hong Kong and capital enterprises have fled, and their companies have not written off. In fact, there are more than 3200 enterprises that stop production and half stop production. The enterprises that stop production and half stop production mainly rely on the export of clothing, electronics and shoes. Guo Zhenhua, director of the Chinese manufacturers' Association of Hongkong, opened a metal chemical plant in Shenzhen and Huizhou. He said that because most of the export products of Hong Kong enterprises depend heavily on the European and American markets, the deepening financial crisis in Europe and the United States has greatly affected Hong Kong enterprises. At present, many of the Hong Kong enterprises' orders are mostly short-term, with only 1 to 2 months. He said that there were more than 60 thousand Hong Kong enterprises in the Pearl River Delta. Currently, 50% of the Hong Kong enterprises have cancelled overtime work, and the two shifts have been changed to single shifts. The collapse of the Hong Kong Stock Exchange has been a drag on the owners of the Hong Kong enterprises. In order to survive, he said that the port enterprises that stop production and half stop production now have overseas orders, and on the other hand, they are actively expanding the domestic market. However, the global financial crisis has become more and more intense, which has further affected the order of enterprises, and in recent days, the share price has continued to plummet. Many Hongkong bosses have also been hit in this area. The tight funds have made Hong Kong enterprises' plight worse, and expanding the domestic market is a long process. He is worried that more and more Hong Kong enterprises will be closed down in the future. Liang Richang, President of Hongkong Footwear Association, said that the number of discontinued production or half stop production of Hong Kong footwear industry is still more than 40% at the beginning of the month. However, the situation is slowly improving, and orders should gradually increase after the end of March. By April, the shoe companies will be fully started, and export orders will be enough to support employees. He expects that the footwear industry will be relatively normal by June, although orders do not require overtime work, but there should be no worries about shutting down production. Of course, "it is almost impossible to return to a large number of orders before". Li Peng, Secretary General of the footwear association of Asia, said that because the association did not investigate, it was not clear that the proportion of Hong Kong shoe enterprises in suspension or half stop production. However, he believes that compared with peers, Hong Kong funded shoe enterprises are relatively good, and "what I know is all right." The biggest impact is super large enterprises and small processing plants. Large enterprises often make orders in Europe and the United States, so they are in a very troublesome situation. Small processing plants are directly closed down, but the Hong Kong shoe enterprises are in the middle of the two. Moreover, the Hong Kong shoe enterprises are doing special products such as sailing shoes and other small impact products. The impact is relatively small. At the same time, the current supporting policies, easy recruitment, low labor costs and other factors have become the advantages of enterprises. More shoes and hat investment information, click here to enter the responsibility editor: Wang Xiaonan
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