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    Korean Enterprises Aim At "China Opportunity"

    2014/12/5 17:53:00 31

    Korean EnterprisesChinaOpportunities

    "After the frequent incidents of food safety and product quality in China, more and more people began to favor foreign products, especially in the purchase of pregnant and infant products."

    Sun Ruohai told reporters that with the booming influence of Korean wave in China, Korean goods have gradually become the "new favorite" of the younger generation of Chinese consumers.

    This trend is also increasingly reflected in the consumption market in clothing, cosmetics and other consumer spending.

    "Pragmatism is the biggest selling point of Korean products".

    Zhang Chongwei, Secretary General of Qingdao Fashion Designers Association, is deeply impressed by the changes in trade between China and South Korea over the past two years.

    "Qingdao is one of the major cities in China's trade with South Korea, and Qingdao is deeply impressed by the changes in trade between China and South Korea."

    Zhang Chongwei told reporters that before, trade between China and South Korea was dominated by China's export surplus.

    "In China's exports to South Korea's clothing, 10%~20%'s products are used for local consumption in South Korea. More than 80% of the textile and clothing products only take South Korea as a pshipment center, and then send it to all parts of the world."

    However, the pattern of trade between China and South Korea has changed greatly since the recent 3~5 years.

    "Now, China's imports of Korean clothing, cosmetics and other products have increased significantly, and the deficit position of South Korea in the trade between China and South Korea has been gradually reversed."

    In Zhang Chongwei's view, this change is related to the characteristics of Korean clothing and the characteristics of Korean clothing industry.

    In recent years, Zhang Chongwei has frequently traveled between China and South Korea to promote exchanges and resource docking between China and Korea.

    He is also very aware of the current situation of the Korean clothing industry.

    "Unlike Chinese brand clothing enterprises, the development pattern is mainly based on large and medium scale, and the scale of clothing enterprises in Korea is relatively small.

    In terms of products, Korean clothing designers and brands have a higher degree of integration, which is also quite different from domestic clothing brands.

    Zhang Chongwei said.

    The high degree of integration of design and brand gives Korean clothing an obvious competitive advantage in the Chinese market.

    "Korean clothing brand is very pragmatic, they design clothing has its own brand personality, but also very popular."

    Zhang Chongwei told reporters that unlike the serious phenomenon of homogeneity of local clothing, the scale of Korean clothing brands is not large, but each of them has distinct personality, and the commercialization of Korean products is also very good.

    This small, personalized and highly commercial clothing product has also been well recognized by the Chinese market. This has also made sales of Korean imported garments a major trend in recent years.

     

    FAT triggered by China and South Korea

    Business pformation

      

    Sun so Hai

    He is very optimistic about the development of Korean imports in China. He told reporters that apart from good design and market recognition, the high cost performance is also a major feature of Korean products.

    With the continuous rise of labor costs and raw material costs in China, the advantages of Korean products are becoming increasingly apparent.

    Compared with Korean products, the competitive advantage of local products is less obvious.

    For a long time, many Korean factories were evacuated from Qingdao, Zhang Chongwei told reporters: "taking clothing as an example, the cost difference between China and Korea is also narrowing. If there is no tariff restrictions, many Korean similar clothing prices are even lower than those of local clothing."

    At present, China's import tariffs on South Korea's textile and clothing categories are generally around 20%, which is also an important reason why Korean clothing has not yet entered China in large scale.

    But with the end of substantive negotiations between China and South Korea's free trade agreement (FAT), more and more Korean companies are looking forward to the upcoming "China opportunity".

    "The status quo of South Korea's small and medium-sized enterprises is largely restricted by the small domestic market."

    Wu Jianmin, chairman of sulang group, told reporters that after the implementation of FAT in China and South Korea, the huge consumption potential of the Chinese market will surely give Korean enterprises great room for growth.

    In this regard,

    Korean Enterprises

    It is also eager to seize this opportunity.

    During the Shanghai Korea commodity trade fair, Seoul industrial revitalization institute actively explored Seoul's small and medium enterprises to enter the Chinese market.

    Jiang Wanqiu, chairman of the Seoul industrial revitalization Institute, Zheng Long, chairman of the K-Style Federation and Li Hongmei, deputy editor in chief of China textile daily, signed the strategic cooperation agreement during the exhibition to promote the in-depth cooperation between Chinese and Korean enterprises in the field of Commerce and trade.

    Jiang Wanqiu, the representative of Seoul industrial revitalization exhibition industry department, told reporters that they hope to set up Seoul excellent product exhibition center in 3 batches in China's main cities through cooperation with K-STYLE and China textile daily, and recommend excellent Korean products to Chinese consumers.

    And the products of South Korea's small and medium enterprises have good commercial recognition in the Chinese market.

    At the Shanghai Korean commodities trade fair, Sun Ruohai told reporters that he was very interested in the products of many Korean pregnant and baby business enterprises, and hoped that the two sides could have in-depth cooperation opportunities in the future.

    "At present, the taxes and fees of China's imports of Korean goods are relatively high and are generally concentrated in 20%~30%. Therefore, once the trade between China and South Korea achieves zero tariffs, it will open a larger market for Korean products to enter the Chinese market."

    However, not all enterprises are optimistic about the positive role of FAT in China and South Korea. In Zhang Chongwei's view, the signing of FAT between China and South Korea has provided a convenient and convenient development for Chinese and Korean businesses.

    "After the realization of zero tariff between China and Korea, it will inevitably impact on the local garment industry to a certain extent. Therefore, it is an important issue for the local garment industry to think about and cope with how the Chinese garment enterprises establish their core competitive advantages to compete with Korean garment enterprises."

    Zhang Chongwei said.


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