The Cost Remains High. What'S The Future Of China'S Footwear Industry?

Data from the light industry chamber show that

Exports are still growing, but the stamina is obviously insufficient.

Insiders pointed out that China's shoes alone win the price alone, and it is difficult to get a foothold in space, so we need to cultivate new advantages in foreign trade.

At the same time, for Vietnam's Vietnam smashing and looting incident, Chinese insiders suggested that, from the perspective of risk aversion, while looking to improve the added value of products, looking for low-cost shoes for Chinese shoes might be appropriate to consider "moving westward".

Frequent trade frictions, high labor costs and fierce competition.

In recent years, China's shoe products are already in existence.

China has opened up its own world, but still faces great pressure.

In addition, the sudden changes in the situation in some parts of the country have also dealt a heavy blow to exporters.

Industry experts suggest that, as a traditional labor-intensive industry, shoe-making enterprises should focus on innovation, increase the added value of products, appropriately consider "westward migration" to get cheap labor force, and reduce the risks brought about by the turmoil in overseas countries.

High value-added products

Turning to the current situation of China's footwear export enterprises, with the increasingly severe environment of foreign trade, the pressure of production and operation of some shoe enterprises in China is increasing, and the digestion ability of the rising cost is weak, and orders are slipped. The final result is gradually withdrawing from the foreign trade field.

In addition, the changes in the external market are too fast, the various trade barriers are frequent, and the political turmoil in the exporting countries will cause heavy losses to the footwear export enterprises.

Footwear is a Chinese tradition.

In the past few years, its exports have always been at the top of light industry products, but these two years have been overtaken by furniture products.

Last year, footwear exports continued to grow, but the obvious aftereffect was not enough.

At present, the international political and economic situation is very complex, trade frictions are frequent and competition is becoming increasingly fierce. It is difficult to win a space based solely on price, and we need to cultivate new advantages in foreign trade.

As a result, many enterprises began to look for innovative "golden ideas" to increase the added value of export products and make some design innovations, such as the use of hand painted art to beautify the rain shoes.

The footwear industry is our traditional industry as well as the dominant industry. We should push the products from the low end to the high end.

Moving westward to reduce risks

"Indeed, there are a lot of pressure on footwear exports. The biggest pressure we are experiencing now is the instability of the overseas market."

An unnamed footwear manufacturer said.

The manufacturer's company is located in Wenzhou, Zhejiang province. In 2012, it opened its first shoe store in Vietnam, and then combined with local small businesses to process parts and components of footwear products.

At that time, there were two main reasons for developing Vietnam's overseas market: first, Vietnam's footwear products market was in the high-end market; two, the local labor cost was low, which was suitable for "relocation".

At present, his company has suspended trade in Vietnam and is considering the recent "hot shift" in the industry, which is pferring to the central and western parts of China, where labor costs in some areas are slightly higher than those in Vietnam.

Data show that in 2003 ~2013, wages for Chinese shoemaker workers increased by about 3.5 times, while the central parity of RMB against the US dollar appreciated by more than 30%, and other costs increased, and profits were basically eaten up.

At present, the monthly salary of workers in the eastern coastal areas of China is about 500 dollars, while Indonesia is about 300 dollars, while Vietnam has only about 250 dollars.

From a risk point of view, it can move to the central and western parts of China. The labor force in many areas is still abundant, and the labor cost is not higher than that in Southeast Asia. For example, in Guizhou, the monthly salary of workers is 1500~1600 yuan, which is equal to the labor cost of Vietnam.