A Week'S Follow Up In Britain: Europe'S Exchange Rate Plunge, The Sea Is Cheaper

The referendum has been in the past week, the pound against the RMB exchange rate fell from 9.8 to less than 9, hitting the lowest level since 1985.

Reporters interviewed that they liked buying and buying.

It is cheaper for a family to buy British goods from last week.

The enterprises in Jiangxi Province are glad to worry about their participation. The fluctuation of exchange rate has resulted in a reduction in the volume of foreign trade enterprises and a decline in profits.

But Britain's removal from Europe has led to a decline in the EU trade war, or is conducive to the development of the European market by photovoltaic companies.

The exchange rate has plummeted.

"The big bag is equivalent to ten percent off at a time, one day is nearly thousand yuan, and the receipt is soft."

Nanchang Miss Liu, who was engaged in British purchasing, told reporters yesterday that her WeChat was "hot" last week, adding nearly 20 friends to two days.

The pound has been weakening in recent days, falling to the lowest level against the US dollar to 1.3229, hitting the lowest level since 1985.

According to the middle price of sterling exchange rate in the interbank foreign exchange market in July 2nd, 1 pounds =8.9009 yuan, a drop of more than 10% before the referendum.

On micro-blog, quite a number of overseas purchasing agencies have made it clear that "at the moment, the list of British companies has been launched, and the list of items worth buying in the UK has been circulated online.

Liu Xiaojie told reporters that after the withdrawal of Europe, the pound fell sharply and the renminbi depreciated, and chose the British personal sea scouring, that is, individuals can buy goods on the local shopping website by pshipment companies.

By contrast, Ms. Wang, who buys Japanese goods, is depressed.

She told reporters that because of the large yen exchange rate, many customers who like (002761, stock bar) Japanese cosmetics have switched to the British generation.

Reporters yesterday interviewed a number of cross-border electricity providers in Nanchang understand that the current cross-border e-commerce platform because of the channel and pricing situation is more complex, the United Kingdom will have a direct impact on Europe will be difficult to predict.

In terms of tourism, many travel agencies in the provincial capital have indicated that at present, the British tour in our province has not been affected yet. The tour in Britain is not very popular, and the price of the newspaper group is almost the same as before.

Short term unfavorable for Jiangxi enterprises to export to UK

Jiangxi Lynn industries mainly export tea. In 2015, the total volume of exports to EU countries accounted for about 25%. Today, exchange rate fluctuations and exports are affected.

Yuan Liren, chairman of the company, told reporters that on the one hand, because of the unstable period of the exchange rate, many EU customers' consumer confidence is decreasing, and the volume of orders will decrease. On the other hand, the unstable exchange rate may lead to the shrinkage of profits, so the company will avoid risks through innovative products and cost saving in the near future.

Many textile and garment enterprises in Changdong Industrial Park of the provincial capital also show some concern about exports.

If the market is weak at present, if the price is too high, the competitiveness of commodities will be weakened.

In addition, the euro has been in a state of depreciation for a long time. Britain's departure from Europe will exacerbate this trend, making EU products more price advantage and impeding their foreign trade quotations and exports.

Reporters learned from the Provincial Department of Commerce, Jiangxi's import and export trade, the status of the United Kingdom and the European Union has also declined.

According to statistics, from January to May this year, our province achieved $341 million in exports to the United Kingdom, down 18% from the same period in 2015, accounting for 20% of our total exports to the EU, and the import volume was only 10 million US dollars, down 18% from the same period last year.

"In recent years, due to trade barriers and other related factors, our province's exports in Europe and the United States and other traditional markets have gradually declined, and more and more emerging markets such as Southeast Asia, Japan, South America and so on."

Relevant departments of the Department of foreign trade of the Provincial Department of Commerce said that at present, the products exported to Britain in our province are mainly concentrated in textile and clothing, bags, plastic products, shoes, furniture and so on.

Chen Qingshou, director of the foreign trade department of the Provincial Department of Commerce, believes that the current big pound slump is definitely not conducive to the export of Jiangxi enterprises to the UK, but it needs to be observed in the long run.

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Conducive to overseas mergers and acquisitions of Jiangxi Enterprises

With the implementation of the strategy of "one belt and one road", Jiangxi enterprises went out in recent years.

Similarly, overseas investments and mergers and acquisitions have also become a major means for Jiangxi enterprises to expand overseas markets.

Will the "flying alone" affect the "going out" and "overseas investment" of the enterprises in Jiangxi Province? Wang Jian, director of the Department of foreign economic cooperation of the Provincial Department of Commerce, bluntly said that there were very few overseas enterprises and institutions set up by the Jiangxi enterprises in the UK, and the amount of direct investment was only about 4000000 US dollars.

The reason is that the cost of the UK is relatively high, and the overall strength of the enterprises in our province is also weak.

At present, the "going out" of Jiangxi enterprises is mainly concentrated in Africa, Central Asia and other countries.

The most important thing is that Britain has no specific European plan yet. No one knows how to get rid of Europe and when to leave Europe.

In this unstable situation, the euro may be in a state of continuous decline, and assets in the EU countries may face a big shrinkage.

"In the face of such instability, many Gan enterprises may have an optimistic attitude towards investment."

However, Ma Zhihui, director of the Economic Research Institute of the Provincial Academy of Social Sciences, said that in the long run, the United Kingdom would be more favorable to the "go out" of Jiangxi enterprises.

At least, it is the lowest cost for Jiangxi enterprises to buy high-quality enterprises or set up factories overseas.

Photovoltaic army or opportunity

Some experts believe that the United Kingdom off Europe will lead to a decline in the EU's trade war synergy, is conducive to the opening of the European market of Jiangxi enterprises, photovoltaic enterprises in the European market strategy needs to be changed.

SPI Peng Xiaofeng, chairman of the green energy treasure, said that after the British "off Europe", China's exports to the UK could not be affected by the "double opposition" because it was a decision made by the European Union.

In recent years, the European PV market has shrunk. But from 2014, the PV power generation in the UK has increased by 60%.

After "off Europe", China's export of British PV products is no longer affected by the EU's anti-dumping against China, and exports to the UK are not restricted.

At the same time, the UK's mature energy and electricity market will drive Chinese PV enterprises to invest in UK PV and renewable energy power generation projects.

"If the UK is really out of the EU, at least the EU's cooperative decline in launching trade wars is good for Jiangxi's PV industry."

Relevant departments of the Provincial Department of Commerce said that at present, our province has a small share of the UK's PV exports, and this year's 1~5 solar export is only 2 million 190 thousand US dollars.

If Britain is removed from Europe, if it can not be followed

The "double reverse" can stimulate local demand on the one hand; on the other hand, it can reduce the cost of using PV power in the UK, and the PV enterprises in our province will be more cost competitive.