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    In The Rainstorm, The Shoe Enterprises In The Pearl River Delta Have A Dilemma!

    2008/7/14 0:00:00 10374

    Pearl River Delta

    The continuous torrential rain, which has not been seen for many years, once made Dongguan, an important manufacturing city in South China, a country of interest. However, what made the government officials who were busy counting the losses after the flood sad was that they had to spare time to appease the workers who often came to ask for justice and recover the salary arrears of the boss. Because those "black hearted" bosses ran away overnight in the flood. In fact, since this year, enterprises in various towns of Dongguan have been going bankrupt. For example, Dalingshan Town of Dongguan, known as "the first furniture export town in China", is said to have closed at least one third of furniture enterprises and supporting factories, and the remaining two thirds are mostly downsized due to losses. The overall situation in the Pearl River Delta is also not optimistic, with industries such as toys, shoemaking and clothing suffering the most. According to the statistics of Guangzhou Customs, from January to May this year, there were 2428 footwear export enterprises in the Pearl River Delta region, a sharp drop of 2331 compared with the same period last year. Nearly half of the footwear export enterprises in the Pearl River Delta region have no export performance this year. From January to May, the Pearl River Delta exported 940 million pairs of shoes, a sharp drop of 25.7% over the same period last year. "The statistics are different every month, and the life of enterprises is getting worse day by day," said Li Peng, secretary-general of the Asian Footwear Association. Liu Dabang, chairman of the Hong Kong Federation of Small and Medium Enterprises, estimates that by the end of this year, nearly 20000 Hong Kong funded enterprises in the Pearl River Delta will have closed down or moved their factories to other regions. The recent survey conducted by the Shenzhen Association of Enterprises with Foreign Investment shows that there are more than ten factors, such as the reduction of export tax rebate rate, the continuous appreciation of the RMB, the continuous improvement of the minimum wage standard, the rise of raw material prices, the adjustment of processing trade policies, the integration of two taxes, the implementation of the Labor Contract Law, the improvement of social security and labor insurance standards, the improvement of environmental protection requirements, labor shortage, and the shortage of water and electricity, As a result, a large number of manufacturing enterprises are in trouble. In the Pearl River Delta region, which is dominated by outward oriented processing and manufacturing industries, this enterprise crisis has had a negative impact on the local economy. It is understood that in the first half of this year, Shenzhen's export volume declined for four consecutive months, and the growth of Shenzhen's total industrial output value also declined. According to a person familiar with the matter, 30% of the local enterprises have the intention to move out. If they all leave, Shenzhen's economy will be hit hard. In Dongguan, which is in the stage of industrial transformation and upgrading, the economic growth rate has also slowed down in recent years. An official of Dongguan Municipal Government admitted that if Dongguan's industrial transformation succeeds, it will usher in an economic leap, and if the transformation fails, it is likely that economic stagnation or even negative growth will occur. Judging from the current trend, it is not ruled out that there will be a worrying situation next year. "Vacate the cage and change the bird" or "upgrade in place"? On July 4, Xi Jinping, member of the Standing Committee of the Political Bureau of the Central Committee of the Communist Party of China and Vice President of the State, visited Shenzhen, Dongguan and other places before going to Hong Kong to check the preparations for the Olympic equestrian competition, with the aim of "understanding the specific difficulties faced by Guangdong Hong Kong Macao cooperation and Hong Kong funded enterprises". It should not be just a coincidence of time that Premier Wen Jiabao and Vice Premier Li Keqiang of the State Council have recently visited the Yangtze River Delta for investigation. How Dongguan, the hardest hit by the "disaster", plans to deal with the crisis of large-scale difficulties of enterprises is particularly eye-catching. "We didn't feel any new policy support, the government's idea is very clear, that is, 'vacate the cage and replace the bird'." A furniture hardware factory owner in Dalingshan Town told reporters. The general idea of Dongguan Municipal Government for "vacating the cage and changing the bird" is to change the development mode, adjust and optimize the industrial structure, upgrade the industrial level, transfer labor-intensive low-end industries out, free up development space, and attract and undertake high-end industries and talents. On May 27 this year, the Dongguan Municipal Government issued a policy discussion draft, announcing that it would "promote new (Dongguan) people to return to their hometown and start businesses by economic means of increasing rental housing and operating costs". At one time, many disputes arose. On July 3, the final version of this document was released, and the words "transfer of low-quality labor" in the original text were quietly deleted. At present, Dongguan Municipal Government mainly hopes to realize its industrial transformation and upgrading plan by relying on Songshan Lake Science and Technology Industrial Park, Humen Port and Eastern Ecological Park. The Songshan Lake Science and Technology Park, located in the middle section of the Guangzhou, Dongguan, Shenzhen and Hong Kong economic corridors, with a planned area of 72 square kilometers, was listed by the Ministry of Science and Technology of the People's Republic of China in 2007 in the "Pilot Plan of Jointly Building National Torch Innovation and Entrepreneurship Parks by Ministries, Provinces and Cities". According to the plan, it will spare no effort to develop the software industry, and processing and manufacturing enterprises and chemical enterprises will be excluded. However, Machong Town in Dongguan has built a new Haofeng Environmental Protection Industrial Park covering an area of 1500 mu. It is planned to move the pollution enterprises such as bleaching and dyeing, electroplating, etc. in the town, which will be subject to unified government supervision and centralized sewage treatment. The advantage of this is to retain enterprises and ensure the government's fiscal revenue, which can be regarded as an example of the town level government encouraging enterprises to transform locally. On July 3, the executive meeting of the Shenzhen Municipal Government reviewed and approved the Several Measures on Optimizing Government Services to Promote Industrial Development, which plans to spend at least 2 billion yuan to help enterprises pass the painful period of transformation and upgrading. The 28 measures proposed in this document are mainly based on the results of the investigation conducted by the Shenzhen Industrial Trade Research Service Group in more than 200 key enterprises in May this year. The key points include providing guarantee arrangements and financing facilities to address the most urgent capital needs of enterprises. It is understood that the Shenzhen Municipal Government has classified traditional industries into nine categories, including clothing, watches, jewelry, furniture, printing, glasses, toys, etc., and has built or planned to build corresponding industrial bases. "Unlike the practice of 'forced relocation' in some places, Shenzhen never intended to drive away traditional industries because they accounted for half of Shenzhen's economy." Wang Chuanliu, Deputy Secretary General of Shenzhen Association of Enterprises with Foreign Investment, stressed that, "The government's plan is to establish a number of industrial bases, leaving the core links of these enterprises, such as headquarters, research and development, design, sales and settlement, in Shenzhen."
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