The Reporter Went Deep Into The Enterprise &Nbsp; Revealed The Profit Problem Under The Sharp Increase In Orders.

The European debt crisis is worsening, and domestic real estate and local government investment are cooling down. Less than two months ago, China's economy was overheated and overheated, and now it is the "two bottom" of the economy. In the two bottom worry, the future or suspense of the enterprise.

In June, the reporter went deep into the local enterprises in Zibo, Shandong, trying to restore and predict the current situation and future of the real economy of the industrial town through some typical individual surveys. The survey of these individuals is only one aspect of the Chinese enterprises which first came out of the financial crisis. Many companies are now facing profits difficulties, wage problems, or abnormal fluctuations in raw material prices, which has eased considerably compared with the most severe impact on the financial crisis at the beginning of last year.

We have no intention to magnify these problems, nor is it alarmist. However, ignoring these problems will be even more difficult for any market related party.

The official May statistics made the whole world look stunned.

At the same time, more and more regional economies are showing strong recovery, which also brings orders from Zibo enterprises.

The number is very bright, the situation seems to be still gratifying. However, behind such appearances, the expression of the enterprise is happy and worried.

Full load production

Surging orders

In June 12th, the Zhoucun Silk Road, which was shined by Xia Yang, was still in constant traffic.

The 889 yard is the world of Zibo Yau Cheng plush products Co., Ltd. (hereinafter referred to as "yosheng toys"), and all kinds of stuffed toys wait quietly for the arrival of delivery time. At this time, the busy workshop is the main theme.

"Production is full load." Sun Demin, chairman of the company, told the newspaper that this was mainly due to the full order.

For the above production situation, Sun said, if placed in the same period last year, is not dare to think of things, "at that time, the company because of reduced orders, export difficulties encountered difficulties." With the introduction of the national economic stimulus policy, the Sino Hong Kong joint venture, which produces stuffed toys and exported to Europe and the United States, has ushered in the dawn of development.

Busy is not just friends. In June 11th, another scene in Zibo, another new Shandong Steel Structure Engineering Co. Ltd., was also reported. "Full load production." Out of the machine roaring workshop, Chen Dengfeng, manager of the new century steel structure production department, said.

In his view, this year's situation seems to be more gratifying than last year. In the context of the gradual increase in the number of customers coming to their companies, production and sales are busy.

High order time comes inadvertently. "No shortage of orders." 13, Sun Demin, chairman of the company, told the newspaper.

During this period, the newspaper learned that the toy company's current order has been released to October this year.

The surge in orders also includes Zhoucun's Sheng Ming textile. "Aside from small orders, for short, big orders will be ready for the end of this year." Zhou Xin, the general manager of his company, speaks frankly.

Behind the order is the recovery of export figures. This newspaper learned from the Zibo customs that since December 2009, the growth rate of foreign trade volume in Zibo has increased steadily since the first positive growth since November 2008.

The accelerated recovery of foreign trade is also confirmed in the figures disclosed by the Zibo Commerce Bureau. In 1-4, Zibo completed 1 billion 910 million dollars in imports and exports, an increase of 29.8% over the same period last year. Among them, exports completed $1 billion 150 million, an increase of 21.3% over the previous year, and imports reached $760 million, an increase of 45.3% over the same period last year.

Although Zibo's economic data in May did not come out, statistics from the General Administration of Customs of China showed that in May, China's exports reached 131 billion 760 million US dollars, an increase of 48.5% over the same period last year.

It has been growing for 6 consecutive months. As a result, China's trade balance reached a surplus of US $19 billion 530 million in May, far exceeding that of US $1 billion 680 million in April.

From the above figures, the newspaper learned that the sharp rise in exports in May showed a strong offensive of domestic exports, which also increased by 9.2% compared with the previous financial crisis in May 2008.

"Exports have once again become the engine of China's economic growth." Zhou said.

Happy and worried

The sharp red of numbers made Zhou Xin's happiness so sudden. However, faced with such a situation, they began to feel happy and worried. "Entering the May, my heart has been suspended in mid air with this change." Zhou said that it was a very happy thing to have signed an order, but now this happiness has become a burden.

In fact, Zhou Xin had already had some vague anticipation for this situation earlier. He said that he got some enlightenment from the retaliatory rebound of real estate last year, when many people also misjudged the situation later and missed the last chance to copy the bottom.

The above situation is also confirmed in the figures. Statistics show that in 1-4 months, the export of light industrial products in Zibo was 147 million 190 thousand US dollars, up 35.9% from the same period last year, accounting for 12.7% of the total exports of the city. "When the recovery of external demand becomes clearer, although light industry enterprises receive some orders or even higher than in previous years, because of the turbulence in the international market and the expansion of the domestic market, the confidence rate of enterprises has been reduced. Many export enterprises are disappointed with the situation this year, so that many enterprises are in a state of stagnation." A Zibo City Light Industry Association said.

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In this regard, Zhou Xin made a metaphor. The current production such as eating, eating too much, worried about being put to death. There are many factors to worry about, such as rising costs, such as fluctuating raw material quotations, such as salary problems and so on.

In addition to the above problems, Zhou is more worried about the company's business rebound, and even a blowout background. Once its production can not keep up with the time, this will usher in a very bad consequence, that is, no order. This will damage the credibility of his company.

Reduced profits

The damage to reputation is only one side. What makes Zhou Xin intolerable is the profit cut.

Just last week, his marketing manager submitted two data tables to him. The comparison of the two tables made him startling. One is the order data of 1-5 months of this year, which makes him happy that the total amount of orders in 5 months is twice as large as that of last year's total orders, while the other is a profit analysis for the same period. This analysis has dragged his mood to the bottom of depression, because they only get half of the profits in the same period of the year. "The rise and fall of foreign trade does not represent a significant increase in our profits." Zhou Xin expressed frustration.

In this regard, Sun Demin, chairman of the above mentioned toys, also said that they had been reduced by more than 3% of their profits in the production of first-line toys by various factors such as the increase of cost, the instability of policy direction and the European debt crisis. Similarly, such a reality also lets Cao Ruhai, general manager of Zibo North America toy, lament that the profits of these manufacturers today can only be classified according to their points.

The above situation also appears in official data. According to data released by the Ministry of finance, the profit growth of oil, petrochemical, coal, transportation, automobile and other industries has shown a growth trend in 1-4 months, but the growth rate has declined. "The lack of stamina in corporate profits has emerged, which should arouse the concern of decision makers." At the end of the interview, Zhou said.

But for now, whether the above situation is concerned is unknown.