Dongguan Footwear Industry Is Facing A Cold Winter Pformation Is Expected To Find A Way Out?

The current situation of shoe enterprises in severe winter

As the sixth traditional pillar industries in Dongguan

This year, it has experienced a brutal challenge.

Many shoe companies carried the financial crisis in 2008 but did not carry it in 2014.

News of the shoe factory shutting down and the boss running away came one after another.

Both material suppliers and factories are cautious.

In order to ensure the safety of the capital chain, they changed their business habits in the long run, all cash operations, first collected money and then shipped out, or they switched off factories to trade companies and sent orders out.

However, with the rise and maturity of manufacturing industries in Southeast Asia and other countries, the international ordering of food has made a huge impact on the footwear industry in Dongguan.

The financial crisis in 2008 is like an acute illness, coming and going quickly; and this year's situation is like chronic disease.

"Most shoe factories are either guaranteed or losing money," said executives with shoe companies.

In the gloomy atmosphere, the whole industry is looking for a way out.

Threatening situation

"The life of shoe factories in Dongguan is unknown, and there is basically no living space for ordinary raw materials processing.

Most shoe factories this year are either guaranteed or lost.

Baoding shoe factory, located in Houjie, has been open for 13 years.

This winter, it looks different from the surface. From the factory to the office, all the staff are in place. The production is normal and orderly, and it seems calm and calm.

But Wang Renguo, deputy general manager of Baoding, said that since the beginning of 2008, the shoe industry in Dongguan has been going downhill.

This year, the shoe industry in Dongguan is facing a "blood challenge".

Manpower and social security requirements increase.

"The factory is sandwiched cake, workers wages rise, social welfare treatment has been required, the price of guest orders is declining.

Since the beginning of this year, the wages of workers have increased by 200 yuan, and the average wage has gone to 3200 yuan.

Wang Renguo picked up the calculator to calculate: the monthly wage increase this year increased by 160 thousand yuan over last year, the social security expenditure increased by more than thirty thousand or forty thousand yuan, and the two plus factory monthly burden was about 200000, more than a year or two million burden.

Since 2009, Baoding shoe factory has to raise wages every year after it comes back, otherwise it will not attract people.

Dongguan's demand for factory purchases of social security has also increased this year.

Last year, the government asked enterprises to buy social security for their employees. The number of insured persons should reach 50% of employees. This year, it is required to buy social security for 75% employees, and the social security base has increased by more than 100 yuan.

This year, the employees' social security is raised to 598 yuan a month, of which the factory burden is about 400 yuan.

Even so, many workers are reluctant to buy social security.

Workers reflected that after returning home, social security could not be turned back.

Seeing a doctor has to go to a designated hospital, and the rate of referral is different.

Enterprises should pay money for workers to buy social security, and do their work one by one.

As for the factory's corresponding hardware facilities, environmental protection, labor insurance, employee health examination and so on, the government departments only inspected individual enterprises before this year, and this year is a comprehensive inspection.

Orders have been repeatedly reduced, a pair of shoes profits several dollars.

Foreign customers' requirements for environmental protection are constantly improving. Now customers are required to see the test report before shipment.

Before 2002, just make it like a shoe, all out.

This year, it is a thread, even if it is the glue line, all customers send pictures to ask for rectification.

The living environment of factories is becoming more and more severe.

The cost of expenditure has been increasing, and this year's market has been bad. Orders have not only been reduced, but also customers have been pressing the unit price. The average cost has dropped by 0.5 US dollars from the original basis.

And the profits of a pair of shoes can not be thinner, or a few dollars.

Shoe factories also have traditional peak seasons, such as three or four, eight, and September. The four months' off-season should be filled out in other months.

"Under such internal and external attacks, the life expectancy of shoe factories in Dongguan is unknown.

Basically, there is no living space.

Most shoe factories this year are either guaranteed or lost.

Wang Renguo said.

Shutting down

"There are, but not many, those who really want to run.

Who can't hold on to it? Who wants to stay? No matter who wants to go bankrupt, next year, many enterprises will still struggle between life and death.

In fact, only a month ago in October, dozens of larger shoe factories in Dongguan passed news.

Among them, Xinghong shoe factory, which has been running for 14 years in Houjie, is more famous.

Zhou Zhongming, the boss of the Taiwan who was accused by the workers, was deliberately running away. A person familiar with the matter said that Zhou Zhongming had a good reputation in the industry. He also expressed his intention to continue to do so in the village. He also had orders in the factory. The original factory building could accommodate two thousand or three thousand people. After that, there were more than 700 employees.

Just as the plant expired, Zhou Zhongming had proposed to the village to find the right factory buildings and move to smaller factories to reduce costs.

At this time, the capital chain controls the problem, and the customer does not owe him the money. He still owes the suppliers and wages.

Eventually, the shoe factory closed down, and Zhou Zhongming was left behind in Taiwan. The incident was handed over to the Public Security Bureau. This has also been regretted by many people in the industry.

Shortly after that, there was a shoe factory in the red street of Houjie. The boss went to the factory to find someone to cooperate. Before he could get back, the factory had been shut down.

According to the supervision department of Houjie, due to the inflow of funds and the fact that the boss was in arrears, the workers were brought to court for prosecution, which led to the closure of the court.

Officials believe that this is different from malicious wage arrears.

But the bad news about shoe factories is coming out.

In December 20th, Dongguan Pu Wei shoe industry Co., Ltd., a Taiwanese shoe factory, was passed down, and the Taiwanese shoe factory, which had been in operation for 22 years, was shut down.

Nandu reporter learned from the labor supervision department that the orders of Pu Wei shoe industry dropped significantly this year. In order to maintain normal production and operation, the company decided to merge the factory to another factory in Guangdong Province.

The two shoe factories are not far away, but some workers are not confident in the company. They think that the factory is going to go bankrupt. Some workers have proposed to resign to return home for the new year, and ask the factory to compensate for one month's wages.

At present, some workers have been pferred to Dingli shoe factory to continue production, and the boss has not run.

"There will be, but not many, a boss who really wants to run."

Wang Yongpei, a businessman who has made leather for 20 years in Dongguan, also expressed regret: "who can insist on insisting? Who can't go bankrupt?"

Based on twenty or thirty years of experience and market sensitivity in the industry, Wang Yongpei predicts that many factories may have to "hit the road" at the close of the year.

"Not my Raven mouth, I guess more businesses will fail next year, and the unemployment rate will be even higher.

Next year, many enterprises will still struggle between life and death.

"I estimate that dozens of shoe factories will be closed before the year."

For the next situation, Wang Renguo is also pessimistic: at the end of each year is a very headache period, workers will not come back at this time of loss; at the end of the year, material manufacturers' money is tight, and the money has not arrived, then the turnover of factory funds will not work, and next year's two or three and April is another off-season. How can we get over it? Under such multiple pressures, some factory owners simply don't do it.

Turning to the status quo of Baoding shoe factory, Wang Renguo said that their monthly wage expenses will be about 2000000, the worst month is more than 40 thousand pairs, and a pair of shoes will have only 3-5 profit points, and 180 thousand -20 pairs will be guaranteed in one month.

"Our goal is to be fair, and it will be fine this year."

Outward order

"This year's thick Street leather,

And other materials market highlights the trend of trade pformation.

There are more than 3000 trading companies only along the Hetian crossing to Heyang mansion.

Wang Yongjun, a shoe doctor, noticed that there were fewer shoe factories in Dongguan this year, but there were more trading companies.

"Because the factory has orders, but the production costs are high, and people can't be recruited. They can only take the factory, do the trade orders and send the orders out.

Due to the high maturity of the shoe market in Dongguan, enterprises are more willing to stay in Dongguan, such as Houjie Hetian street, Houjie, this year, there are many trading companies. These trading companies are basically sending out after receiving orders.

Xiao Hai Bo, a leather trader, thinks that the market of leather and shoe materials will highlight the trend of trade pformation this year.

There are more than 3000 trading companies only along the Hetian crossing to Heyang mansion.

Customers like to come to Houjie trading company to look at the samples, then place the order, and then produce them from the foreign factories.

Dachang small factory becomes a trend

Turn off factories and make orders, and factories are pformed into trading companies. In Wang Yongpei's view, powerful people and sensitive people did so 3 years ago.

And shrinking scale, relocation and relocation, big factories and small factories are also a big trend this year.

In addition to some of the collapsed Taiwanese funded factories, most of the powerful Taiwanese capital factories moved to other places where Southeast Asia and other labor costs are cheaper. The factories that remain at home shrink production lines, and many shoe factories shrink from hundreds of thousands of factories to hundreds of people every year.

Fang Peiji, President of Dongguan footwear materials industry association, thinks that the market of shoe material trade has already been highly mature and has a brand effect. Customers from all over the world will come to Houjie. However, most of these materials are not produced in Houjie, and Houjie takes more functions of purchasing orders and purchasing, which is a new trend in recent years.

Shoe material market procurement function highlights

Fang Peiji pointed out that although factories shifted and orders were pferred, they did not pfer to one place, but dispersed in many places. As a result, it was difficult for other places to form a large-scale material market. Therefore, the purchasing function and agglomeration function of the professional market of Houjie shoe material, which had its basic advantages, was further highlighted.

However, Liu Jin has reservations about this.

He said that many enterprises shut down factories to make orders for trade and sent orders abroad. This year there is a trend, but it is still necessary to return to professional people to do professional work. The quality of the orders you send out is not guaranteed, so it is not known how far this road can go.

Cash operation

According to the situation this year, 10 million of the leather business is estimated to earn less than 200 thousand in one year and about 500000 interest in banks.

Who else is willing to do business?

When it comes to this year's situation, Wang Yongpei, a leather merchant, can't help but repeatedly talk about it: bitter.

It's hard to do business.

Last year, he said, he sold a piece of leather material to earn 1.5 yuan. He lost 3 yuan for selling a foot this year, and only 10 million yuan was sold for 10 million yuan.

"No way, we can't sell at all, but now we don't have money at all."

Don't dare to give customers credit because of the risk of business failure.

Starting in May of this year, Wang Yongpei realized that a large number of shoes would die this year.