General Trade Supplement Processing Trade In Guangdong

In from August 18th to 21st, Guangdong, the first foreign ministry of foreign trade, sent more than 10 officials from the above level departments of the province's economic and trade system to Zhejiang to conduct special research on general trade.

Within four days, the research group visited Zhejiang, Hangzhou, Ningbo, Wenzhou, Jia Qing, Jinhua, Taizhou and other cities.

"The province attaches great importance to this investigation."

Before the launch of the survey, Guangdong held a symposium on the whole province's foreign economic and trade work as well as an internal analysis meeting at the highest level of the provincial economic and trade system.

An official of the Guangdong foreign trade and Economic Cooperation Department revealed that the two conferences mentioned the issue of how Guangdong's foreign trade policy should turn.

By way of Zhejiang

The trade structure of Zhejiang has attracted the attention of the research group.

According to the statistics of Zhejiang provincial foreign trade and Economic Cooperation Department, in the first half of this year, Zhejiang's general trade import and export volume was 74 billion 990 million US dollars, an increase of 28.8% over the same period last year, of which general trade exports amounted to 57 billion US dollars, an increase of 27.5%, the growth rate was faster than the processing trade 6.2 percentage points, and the proportion reached 78%.

In the first half of this year, general trade accounted for 73% of Zhejiang's total import and export trade, while processing trade accounted for 27%.

"The export of private enterprises in Zhejiang accounts for 51.05% of the total export volume, which is close to 30 percentage points higher than the national level of 22%.

Contrary to Zhejiang's foreign trade structure, Guangdong's exports have been dominated by processing trade.

"The most fundamental reason affecting the foreign trade situation is the continuing downturn in the international market. Under the same external environment, the external dependence of processing trade is higher and the external impact is greater than the impact of general trade."

"The general trade in Guangdong is not only smaller, but more importantly, it lacks experience.

Not only that, the general trade in the Pearl River Delta is usually driven by processing trade, such as buyers' processing trade orders under 1 million US dollars, and export enterprises often borrow the buyer's channel for a small part of general trade.

"Our orders for processing trade decreased by 30%, while general trade decreased by half."

　　以一般貿易補缺加工貿易

The trade structure dominated by processing trade in Guangdong has attracted wide attention from all over the province.

A document issued by the Guangdong economic and trade system pointed out that "our province should increase its support for general trade so as to reduce the negative impact brought about by the rapid reduction in processing trade orders."

"On the one hand, we must protect small and medium-sized export enterprises. On the other hand, we need to expand general trade to make up for the loss of processing trade."

But this is not easy.

"The difficulties encountered in general trade export must be greater than that in processing trade. The brands of general trade exporting enterprises lack visibility, sales channels and stable market in the international market.

Statistics from the Guangdong Provincial Department of foreign trade and economic cooperation showed that in the first half of this year, Guangdong's export related to export tax rebate reduction last year dropped 2.2%, down 32.2 percentage points, of which general trade exports fell 58.4 percentage points, and the export tax rebate rate dropped 22.9%, down 57.7 percentage points, of which general trade exports fell 94.1 percentage points.

In addition, the RMB appreciation in the first half of the year led directly to Guangdong's general trade export and import processing export income less than 26 billion 65 million yuan.

"The purpose of this trip to Zhejiang is to seek the next direction of Guangdong's general trade as soon as possible through field visits. We urgently need to raise the general trade level and expand the share of general trade."

"General trade in Guangdong province accounts for relatively low foreign trade, and has great potential for growth. General trade is also a breakthrough in Guangdong's foreign trade."