The Cost Increases And The Market Shrinks &Nbsp;

On May 21st, it was reported that a few days ago, the media survey showed that the increase in production costs and market Under the double pressure of shrinking, Guangdong's large clothing and footwear factories are in a semi stop state, and a few enterprises begin to close down. This news has aroused widespread concern among netizens.

According to the Guangzhou daily survey, the cost of raw materials and labor is huge. Rise The increase in prices has led to a sharp contraction in orders for clothing, footwear and other low-end manufacturing industries. The business is in a predicament. Large factories are in a halt. Some small and medium enterprises are closing down, and a few companies are closing down.

　　 Guangzhou Many shops on the top nine walking streets are specially designed for low-end goods or inventory business. Recently, the clothing priced at 1 yuan in these shops has returned to rivers and lakes. Huang Xueming, vice president of Guangzhou garment industry association, said that compared with 2008, many export products were not sold to domestic sales, but now the sale is due to overstocked factories and clearing up factories. Guangzhou Zengcheng Xintang town is a world-famous cowboy production base, known as the "world cowboy three points have one" reputation. Recently, reporters have also found that orders have been greatly reduced since March, and many small garment factories have closed down.

It's not just the clothing industry but also the shoe industry. According to some shoe factory owners, the total production cost of footwear industry has increased by 30% to 40% over the past year, making the price of domestic shoe factories higher now, and many foreign merchants have shifted their orders to Vietnam and other countries. According to the insiders, Guangdong mainly produces high-end shoes. Since October last year, orders have shrunk by about 30%. Fujian Jinjiang mainly produces low-end shoes, which are more vulnerable.

The plight of Guangdong's garment enterprises has aroused heated debate among many netizens. Some netizens say that this is a normal phenomenon in the market economy, aging population and increasing costs. This low-end manufacturing industry will only slowly decline. A Shaanxi netizen said that the small garment factory should be eliminated. Only if the company is bigger and stronger, will the market be profitable if it monopolize the market with the brand. His views have been rebutted by many netizens in Guangdong. Some netizens say that they still insist on making clothes worthy of respect, and rich people invest in real estate. Some netizens worry that the plight of the small and medium-sized enterprises in the coastal areas may cause further deterioration of the employment problem. Some netizens believe that the continued downturn in the manufacturing sector is a big warning for the current Chinese economy. The state should reduce related taxes and help SMEs overcome the difficulties.