Footwear industry reshuffles Hong Kong-owned shoe companies

The industry’s major reshuffle triggered by the financial turmoil was most significant in the traditional manufacturing industries such as the toy industry and the footwear industry. Dongguan, a more concentrated Hong Kong enterprise, has seen toy companies reduce from more than 6,000 in 2008 to less than 2,000 today!

The soaring costs of SMEs have closed down at the end of October this year, the Twelfth China Dongguan International Shoes Exhibition, is the only professional shoe exhibition in the Mainland, is also a footwear export vane. However, according to exhibitors, the results of the exhibition were not as expected. Compared with the deserted shoe exhibition area, the shoe area was obviously more popular. It was that manufacturers were looking for some new equipment and technologies to reduce the price of the workforce. rely.

Wang Wei, chairman of the Hong Kong-owned company's Beijia Footwear Group, said that this year's export orders did not seem to reduce, but due to rising raw material costs, corporate profits have almost dropped to the limit, "just cotton is 50% higher than last year, However, buyers will not accept 50% of your price increase and 10%. They have to jump in.” He predicts that many companies in Dongguan will fail by the end of this year and next year. Many industry veterans also believe that the new round of major reshuffling of the footwear industry will be inevitable in this and next two years. SMEs with meager profits will be washed out in large numbers.

The branded operation and development product line has experienced the financial storm, even if it is orders coming from time to time, there is no urgent need to paralyze the transformation and upgrading of Hong Kong enterprises. In the past two years, most Hong Kong enterprises have been actively transformed and upgraded by establishing brands, adding more advanced and efficient equipment and equipment, improving operational procedures, and increasing investment in research and development. Large-scale Hong Kong enterprises have even greater strength in resources and capital. Transformation is even greater.

The Dongguan policy supports the integration and reorganization of enterprises in Houjie, Dongguan, the heart of the shoe industry. The new round of enterprise transformation and upgrading that is determined to break through is also underway. The "Dongguan shoe industry transformation, upgrading and cluster development policy support program" led by the government of Houjie Town of Dongguan has been submitted to the Dongguan City Government for approval. The "plan" clearly supports enterprise integration and reorganization for the first time, and selects large foreign trade enterprises to actively integrate foreign trade SMEs. The "Programme" stated that it is necessary to intensify the introduction of large-scale footwear enterprises at home and abroad, and focus on the introduction of domestic and foreign high-end footwear brand enterprises and medium and large-scale trade buyers, and strive to newly introduce 25 world brands, 30 domestic-selling brand companies, and shoe enterprises. 20 brand headquarters, domestic and foreign associations or chambers of commerce set up 50 brand exhibition centers and publicity and promotion centers.