Sichuan Shoes Export Rate Climbed, Unit Price Increased Again.

Insiders pointed out that as China's trade surplus began to decline, or that the unilateral appreciation of the RMB trend ended.

However, for a large number of quagmire that has yet to get out of the financial crisis.

Favorable

The first day falls by 81 basis points. The unilateral appreciation of RMB will come to an end.

Yesterday was the first trading day for the central bank to expand the fluctuation of RMB to us dollar trading from 0.5% to 1%.

According to the China foreign exchange trading center, the central parity of RMB against the US dollar in April 16th was 6.2960 yuan, down 81 basis points from the previous trading day.

In response, many economists said that as China's trade surplus began to decrease, or that the unilateral appreciation of the renminbi ended.

Shen Jianguang, chief economist of Mizuho Securities Asia, said that due to the difficult economic situation in China and the adjustment of China's economic structure, the monthly trade deficit will be more frequent this year. The surplus will decrease and the pace of RMB appreciation will slow down.

The era of RMB appreciation has been over for a long time.

This year, the renminbi will appreciate at most 3%, and there will be two-way fluctuations in appreciation and depreciation.

"Affected by the depreciation of the euro and the fall of some economic indicators in China, the expected appreciation of the renminbi is relatively low, and it is at the right time to further promote the timing of foreign exchange reform."

China Gold chief economist Ha Jiming said.

Bad profit

Worried about exchange rate risk amplification, shoe companies are forced to raise orders prices again.

Despite the unilateral trend of RMB appreciation or the end, but for a large number of Sichuan shoe enterprises, the impact of this exchange reform can not be ignored.

Lian Ping, chief economist of Bank of communications, points out that in the short term, this reform will make some export-oriented enterprises face exchange rate risk.

"The increase in the volatility of the exchange rate means that the probability of losing money due to the loss of foreign exchange will increase as a result of the slight profit margins."

Liu Ying, assistant director of the Chengdu card and more shoe industry Co., Ltd., admitted that, for a large number of Sichuan shoe companies that have not yet been out of the financial crisis, the decline in external demand and the increase in labor costs have forced Sichuan shoe companies to face the pressure of orders and profits this year. With the expansion of the exchange rate, the exchange rate risk of enterprises will undoubtedly be exacerbated.

"In view of the increase in exchange rate volatility, the company held a special meeting this morning, and concluded that the risk of exchange rate fluctuations can only be set at the time of placing orders, which means that the purchasing costs of European and American buyers will rise further.

Originally, the small profits of Sichuan shoe enterprises will have to face the dilemma of dilemma.

Liu Ying explained that the increase in exchange rate would increase the probability of losing money due to exchange losses.

However, if this part of the exchange rate risk is reserved in the contract, it will affect the order quantity.

Enterprises will be forced to speed up structural adjustment.

Before the Sichuan shoe enterprises' orders and profits suffered "double kill", then the RMB exchange rate volatility increased and the exchange rate risk increased. How should a large number of Sichuan shoe enterprises get out of the financial crisis quagmire?

In response, Qiu Ke, an economics professor at Southwestern University of Finance and Economics, said that the doubling of the RMB exchange rate volatility is not enough for a large number of export oriented enterprises led by footwear in Sichuan.

Over the past year, a large number of Sichuan shoe companies have been able to survive due to the support of the state's export tax rebate and stable exchange rate policy. However, with the increase of the RMB exchange rate, Sichuan shoes will have to accelerate the pace of industrial restructuring.

In the view of Qiu Ke, there are three ways in front of Sichuan shoe enterprises.

First of all, in view of the fact that the cost advantages of the traditional labor intensive industries in China are not at present, it is possible to reduce costs by setting up factories abroad, such as Vietnam.

Secondly, we should locate high-end products through brand acquisition and enhance the added value of products.

Finally, because of the sluggish demand in Europe and the United States for a foreseeable future, enterprises can consider deep tillage.