Hainan: Foreign Trade Enterprises Need To Adjust Their Traditional Export Products.

The RMB broke eight against the US dollar and broke seven.

Every appreciation of the renminbi has made Wang manager of Haikou Qiong Xing import and Export Co., Ltd. depressed.

Their company specializes in Pepper export trade.

Last year, the small foreign trade company, which exports only US $3 million, was revalued for 1 million yuan due to the appreciation of the renminbi.

According to the person in charge of the planning and Finance Department of the Hainan Provincial Department of Commerce, this year, the export enterprises such as Qiong Xing import and Export Co., Ltd. have been severely tested due to the unfavorable factors such as the reduction of export tax rebates, the increase of raw materials, the sharp increase in labor costs, and the weakness of international demand.

"In the export of local products, wood products are considered to have great potential."

Hainan province commerce department responsible person said, Hainan is China's largest natural rubber production base, Hainan rubber wood this characteristic resources was once considered to be the most potential export products.

At the peak time, the export of rubber and wood products in the province reached tens of millions of dollars.

But in the first 5 months of this year, exports of timber and wood products in Hainan were only $5 million 830 thousand, down nearly 30% from the same period last year.

"The export of wood products has met the real Waterloo."

The responsible person of the Department of Finance and Commerce of the Provincial Department of Commerce believes that the US anti-dumping investigation on China's wood products and the export tax rebate rate for such products were reduced last year, which directly led to the shrinkage of wood products exports.

Now, some enterprises have stopped production, or sporadic production of some accessories.

It is reported that in the second half of last year, China substantially reduced the export tax rebate rate of 2268 commodities, including the traditional main export commodities in Hainan, such as organic chemicals, clothing, plastics and products, timber and wood products, etc., which were reduced by 5% to 10%.

Affected by this policy, the export of organic chemicals decreased by nearly 40% in the first 5 months of this year, while exports of timber and wood products dropped by nearly 8% compared with the same period last year.

It is understood that in the face of the reduction of export tax rebate rate and weak demand in the international market, Hainan's foreign trade enterprises should also cope with the continued appreciation of the renminbi, rising bank interest rates, labor prices and prices of raw materials, and some traditional export products need to be adjusted urgently.