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Shoes And Clothing Enterprises Return To Europe: Why Is China'S Shoe Brand Neglected?

2012/5/13 0:25:00 43

OEMCompetitionNeglect

Footwear industry reappears industrial pfer. Following the shift of shoe and garment industry orders to Southeast Asia in 2008, the production of high-end shoes and clothing brands in some European countries has begun to return to Europe, and its surrounding countries and regions are becoming new manufacturing centers for shoes and clothing.


Quanzhou city related personnel analysis, on the one hand,

Low end manufacturing line

Has shifted to Southeast Asian countries, on the other hand, the middle and high-end manufacturing lines return to Europe, Quanzhou footwear enterprises will face more severe market challenges.


  

Shoe and garment foundries have changed.


Recently, a company in Shishi is in a difficult position.

Two years ago, the company was still making shoes and clothes processing. Now it has switched to the electronics industry.


The company official said: "in 2006, we made a set of European outdoor shoes and clothing that could earn two hundred or three hundred yuan. However, in recent years, the situation is getting worse and worse. At the worst time, it only earns a few cents. Sometimes, in order to fight for customers, we even get orders that are not profitable."


It is understood that at present, many shoe and clothing enterprises in Quanzhou are doing OEM for Europe's shoes and clothing brands.

However, since the European debt crisis, orders and OEM profits from Europe have been declining.

Liu Kaiding, director of fashion design department of Bao de group, admitted: "in the past two years, influenced by the European debt crisis, the overseas trade of the company has declined, and the production capacity of the production line has generated more space."

In this regard, Yao Tong, Secretary of the Shishi children's wear industry association, said: "in the past two years, Quanzhou enterprises, which are doing wholesale work and selling foreign orders, are getting more and more difficult."


The reporter understands that at present, the origin of shoes and garments in European international brand stores, besides Vietnam, Kampuchea and Indonesia, has already appeared the names of European countries such as Spain, Turkey, Morocco, Bulgaria and so on.

Made in China

The era of full power is gone forever, and the manufacturing industry in European countries has returned to a climates.


  

Labor cost advantage no longer


Shi Zhengzhi, Secretary General of the Quanzhou chamber of Commerce, said there were two main reasons for the return of the European shoe and garment brand production line. "The most important thing is the cost. The cost of manufacturing in China is no longer an advantage. In addition, the European debt crisis has led to a high unemployment rate in the region, and European enterprises can withdraw the manufacturing industry to Europe and alleviate the unemployment problem there."


"The cost performance made in China is no longer satisfying."

A French brand recently moved its overseas production business to Hungary, its production leader Lopez said in an interview with the media.


"The cost of producing shoes in Turkey and Tunisia is higher than that in China, but considering the extent of China's salary increase, the cost is not much higher, and Turkey and Tunisia are much closer to Italy, which is more convenient for us and better quality control," said a designer of a shoe brand in Italy.


The reporter understands that in terms of labor cost, Vietnam's labor cost is only about half of that of China. In terms of pportation cost, European periphery has more advantages, for example, Turkey and Spain only need 3 days' journey, while Chinese coastal manufacturing enterprises have at least 45 days to go by sea.


  

Independent innovation promotes core competitiveness


As for the phenomenon that Chinese manufacturing has been increasingly "neglected", the industry has said that on the one hand, enterprises should increase their independent innovation and create their own brands. On the other hand, they should expand their marketing capabilities with the help of new platforms such as e-commerce, and get rid of the inherent mode of relying on wholesale and external markets.


Huang Qingmiao, deputy chairman of the Shishi chamber of Commerce and chairman of the small leather business board, said: "

Shoes and clothing enterprises in Quanzhou

It is necessary to strengthen the intensity of independent innovation and strive for and enhance the two aspects of quality and brand. There is no way out for wholesale and external orders. Now is the critical moment for pformation.


Wang Yonggang, the chairman of the board of directors, believes that the new mode of e-business can not be ignored in the future of Fujian enterprises. After all, it has been quite mature in foreign countries and has been tested by the market.

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