Analysis Of Guangdong Shoe Enterprises Export Decline

China is the largest footwear producing and exporting country in the world. According to the statistics of the United Nations Industrial Development Organization, China's shoes account for sixty-three percent of the world's total output.

However, Chinese shoes have encountered an unprecedented cold wave in overseas markets.

The reporter learned from the Jiangmen customs that between January and May this year, 1350000000 pairs of shoes exported from Guangdong were fifteen point six percent lower than the same period last year.

According to industry sources, Guangdong footwear exports declined significantly, mainly for three reasons:

First, rising costs will squeeze profits.

Recently, with the rising international oil prices, the price of plastic raw materials has also risen sharply.

In addition, the continued appreciation of the renminbi, the reduction of the export tax rebate rate and the implementation of the new labor contract law have made the cost advantages of Guangdong shoe enterprises gradually losing, and the pressure of survival has increased greatly.

Two, frequent anti-dumping barriers.

The EU has imposed sixteen point five percent anti-dumping duties on China's export leather shoes since 2006.

In addition, Taiwan has imposed anti-dumping duties on leather shoes and rubber faced shoes originating in the mainland. Since 2007, forty-three point six percent provisional anti-dumping duties have been levied. Brazil has increased the import tariff from twenty percent to thirty-five percent since 2007.

At present, it is particularly noteworthy that, at the end of the EU anti-dumping, the European footwear Federation has decided to extend the anti-dumping measures to Chinese leather shoes to the EU for five years. If it is achieved, it will undoubtedly be a heavy blow to China's footwear industry.

The three is the lack of independent brands and R & D capabilities, and the ability to resist risks is weak.

At present, most of China's shoemaking enterprises still belong to raw materials processing. They have been making export orders for overseas customers in Taiwan, Hongkong and Korea, Europe and the United States. They do not belong to their own brands and markets, and the technical content of shoemaking is not high and easy to copy. Once the cost is increased, many customers will pfer their orders to the Southeast Asian region with low cost, so the enterprises will go bankrupt.

According to the statistics of the Asian Footwear Association at the end of last year, more than 1000 of the more than 5000 shoe making enterprises in Guangdong were closed down last year.

To this end, the industry suggested that: first, guide and encourage shoemaking enterprises to strengthen their own brand building and increase the added value of products; two, strengthen the construction of relevant supporting facilities in the footwear industry in the central and western regions, and do well in the regional pfer of industries; three, play the role of trade associations, unite with the interest groups such as retailers of exporting countries, and actively respond to anti-dumping; four, guide enterprises to actively open up emerging markets and prevent more trade conflicts due to excessive concentration of export markets.