Dandong, Liaoning: Export Processing Reinventing The Advantages Of Garment Enterprises

"Based on the work done in the second half of last year, we have received orders from new US customers in the first two months of this year. According to the current orders, the export volume will reach 50 million yuan this year, 120% of last year."

Dandong Huayang

Yu Wenfu, general manager of the company.

In March 19th, the reporter came to the exit processing park of Dandong Lingang Industrial Park, entered the workshop of more than 80 acres of Huayang textile, and Metersbonwe and other famous brand products were continuously produced from the production line.

According to management, the maximum daily output can reach more than 1 million 500 thousand.

Like Huayang textile, since last year, many export enterprises in the exit processing park have adjusted their product mix to find new international markets. Orders for the first two months of this year have increased compared with the same period last year.

What is the promotion of enterprise orders? Wen Fu said, "as labor intensive enterprises, the gradual increase in labor costs has led to a decline in competitiveness of enterprises. Thanks to the exit processing park, we have found a way out and reshaped our advantages."

The exit processing business refers to the processing and assembling of raw materials to overseas manufacturers according to our requirements, and after processing, finished products are returned to China for sale.

This business is currently only carried out in two regions of Hunchun and Dandong.

After the re export of raw materials from the exit processing park, only the taxes on processing fees are paid, and the export raw materials can still enjoy preferential tax rebates.

Located in Dandong Lingang Industrial Park.

The park is the only pilot exit processing park established by the General Administration of Customs in our province.

Relying on the geographical advantages of Dandong as a border city and the industrial advantages of the huge export volume of garment industry, it will pport the raw materials of clothing production abroad and make use of the low cost of overseas labor force, and then sell processed products to China.

After finished products manufactured in the exit processing park, the tariffs on each plastic fabric are only one or two of the original ones, which greatly reduces the cost of the enterprise.

This has attracted many well-known domestic enterprises to settle in Dandong.

Gao Mingxiong, deputy director of the Dandong Municipal Bureau of foreign trade and economic cooperation, said: "the great advantage of Dandong's clothing industry lies in its price. The rise in labor costs has led many enterprises to lose competitiveness because of reduced profits.

The policy superiority of the exit processing park has already made some enterprises taste the sweetness, and now there are many well-known domestic textile and garment enterprises are negotiating with Dandong.

At present, Dandong has screened 9 garment production enterprises such as Xinfeng clothing, Dongyuan clothing, Hengfeng trade, Huayang textile and Phoenix Phoenix clothing, etc. as a pilot enterprise to report to Dalian customs. It is estimated that the annual export processing garments will be around 10 million, increasing the import and export volume of about 1 billion U. S. dollars.

With the expansion of the pilot scale, the export processing business will not be limited to garment processing. It is understood that this year, the provincial foreign trade and Economic Cooperation Department will continue to implement incremental export incentives.

The main body of the market.