Transfer Of Manufacturing Industry: Risk Is Only Organic.

"In the middle of the vortex, instead of being nervous," Wang Cheng, general manager of TCL Vietnam company, relaxed with reporters.

The initial shock has passed, and Wang Cheng is now considering how to get out of the vortex. "As long as we step by step, we will be able to follow the normal rhythm of 1234, after all, our opponents will have the same problem as we encountered."

Yang Zhen, President of the Chinese Chamber of Commerce in Vietnam, believes that there is opportunity if there is danger.

With this turbulent opportunity, investors may re-examine the specific projects. Vietnam also takes the opportunity to reshuffle the cards, eliminating some industries and industries that are seriously polluted and inefficient.

TCL is rooted in many foreign businesses in Vietnam. Many raw materials are imported. Most of the products are exported, which can stimulate the import and export trade of the Vietnamese government. It also promotes the GDP of local governments and increases local performance. Therefore, there are many economic development zones in Vietnam. There are five or six cities, and there are more exhibitions, but the scale has not been affected yet.

The impact of Vietnam's devaluation is mainly due to the production and sale of Chinese funded enterprises in Vietnam.

The local production and sales enterprises cut their production and losses since August and September last year. Chinese enterprises have mainly settled in the US dollar in Vietnam. Most of the sales enterprises imported raw materials from China, which were affected by the exchange rate of RMB against the US dollar and the rise of raw material prices.

TCL is such an enterprise.

Wang Cheng told reporters that by the financial turmoil, TCL Vietnam's sales target this year needs to be readjusted according to the situation.

In 2007, TCL sold 300 thousand units in Vietnam, accounting for 16% of Vietnam's TV market.

So far, Vietnam's domestic TV operators have not raised their prices because of lower profits, but the industry has already said that Samsung is considering raising prices, and to reduce sales quota, I believe it will also have an impact on the market structure.

"This is also a difficult choice. If you sell one, you may lose one. If it does not sell, it means losing the market. Once the market is lost, it will not be easy to get it back."

Wang Cheng said frankly.

In this prisoner's game, Wang Cheng is waiting for his opponent to show his cards.

According to the data provided by TCL, when the exchange rate between RMB and the Dong is at 1: 2000, the price of TCL21 inch tablet is around 1000 yuan, and the exchange rate has risen to 1: 2500, and the price of TV has not changed.

Some vendors began complaining to Wang Cheng, general manager of TCL Vietnam branch, saying that profits had been reduced a lot.

As a matter of fact, TCL agents do sell steel products.

Vietnam does not produce steel locally. It mainly relies on imports, because Vietnam's shipbuilding industry is developed, and steel products are mainly sold to shipyards.

Data from Huang Gongshan, managing director of Bao Yue securities, one of Vietnam's two largest securities companies, has seen a rise of 30% in steel prices since the second half of last year.

"Although some current assets and accounts receivable have suffered a bit of losses due to the depreciation of the Vietnamese shield, we will make adjustments immediately, such as turning the Vietnamese shield into US dollars."

Wang Cheng believes that "short-term risk is controllable."

In response to inflation, TCL has raised 10% salaries for Vietnamese workers this year, especially raising the salaries of key posts.

At present, there are about 120 TCL sales teams in Vietnam, of whom only eight or nine come from China, while TCL Vietnam has about 300 people.

"TCL's $about 10000000 investment in Vietnam had already been withdrawn.

Moreover, Vietnam is just showing signs of economic crisis. It seems too early to talk about the crisis, "Wang stressed." TCL's long-term strategy of taking root in Vietnam will not change. "

Taiwan businessmen search for "fourth moves"?

Chen Qiu, director of the Taiwan Furniture Industry Association, is mainly in Taiwan and Mainland China. This time he came to Hu Zhiming to participate in the American broadleaf export promotion conference and discussed with Taiwan furniture enterprises the survival of the financial turmoil.

Among Vietnam's investment, Taiwan accounted for the first place, with a total investment of about 15 billion US dollars, accounting for about 1/4 of total foreign investment in Vietnam. The number of enterprises accounted for roughly 1/4 to 1/3 of foreign-funded enterprises.

Taiwanese enterprises are suffering from double crises. On the one hand, prices are rising and profits are greatly reduced. On the one hand, workers are constantly striking and demanding higher wages.

Official statistics in Vietnam showed that there were 300 strikes in the first quarter of this year, up from 103 in the same period last year.

Since the beginning of 2007, because of soaring prices, strikes in industrial areas around Hu Zhiming have become almost normal.

It is understood that due to the rapid spread of the tide, Hu Zhiming, vice mayor Ruan Qiuxia, led the Pingyang Provincial Department of labor and deputy director of Labor Department of Nai Nai, and met with representatives of Japan, Korea and Taiwan chamber of Commerce last year.

The latter puts forward two demands: first, the strike which is not coordinated with the management is regarded as an illegal strike; it should be resumed immediately; two, Vietnamese officials announce the salary adjustment and the date as soon as possible, so as to eliminate the rumors of wage corruption which are incorrectly pmitted.

However, Chen Qiu believes that Vietnamese officials have failed to do so. Many Taiwanese businessmen speculate that the Vietnamese government acquiesced in the strike of foreign employees, and backed the demands of these employees for higher wages.

Chen Qiu accused the Vietnamese government of lacking experience and inadequate management in dealing with the financial turmoil, which affected the development of Taiwanese enterprises and all foreign-funded enterprises in Vietnam.

According to Chen Qiu, 2004 to 2006 is the climax year for Taiwanese businessmen to enter Vietnam in large numbers.

With the adjustment of China's industrial structure and the increase of labor costs, many Taiwanese businessmen in the mainland of China turned to invest in the Vietnamese market.

Actually, Vietnam's manpower cost has been reduced by 30% compared with China's manpower cost.

In Chen Qiu's view, moving to Vietnam from the mainland of China is also an inevitable choice. In terms of economic strength, investment environment and the ability of the government to regulate and control, the mainland of China is far stronger than Vietnam.

"We have moved three times to Meng mother, and perhaps Mencius moved four. As for where to move, I do not know now."

Chen Qiu said.

Vietnam cost of living survey food: beef 155 thousand Vietnamese shield / kg (about 31 yuan / kg) 40 thousand Dutch shield / kg (about RMB 8 yuan / Jin) shrimp 80 thousand Vietnamese Dong / kg (about 16 yuan / Jin) thin pork 100 thousand Vietnamese Dong / kg (about RMB 20 yuan / Jin) pig rib 90 thousand 90 thousand Vietnamese / kg (about RMB 18 yuan / Jin) rice 18 thousand Vietnam shield / kg (about RMB yuan yuan / Jin) green vegetables 18 thousand ~ Vietnam Vietnam shield / kg (about RMB yuan yuan / Jin) daily necessities: from June 20th, including Panasonic, Hitachi, MITSUBISHI, SHARP and other brand refrigerators, import appliances prices will rise.

The price of gasoline rose from 11000 Vietnam shield in the beginning of the year to 15000 Vietnamese shield / litre in June.

In late April, there was a rush to buy rice.

In May, gas prices hit a record high.

In Hanoi, the price of gas per tank (12 kg) is increased by 7000~11000 Dong Dong, reaching 260 thousand ~28 million Dong (about 116 yuan).

In Hu Zhiming, the price per tank rose by 8000~13000 Dong Dong.

Wages: the average monthly wage per worker is 1 million 500 thousand ~200 Dong Dong (about 600 yuan ~800 yuan), and the white-collar is 200 yuan (about 1400 yuan). In April, a company that made Nike sports shoes agreed to raise the wages of workers 10%, that is, the monthly issuance of RMB 45 yuan.