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Home / International News / Press Releases / July 17, 2008
Restricted Chinese Footwear Export Industry Struggles For National Brand

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Restricted Chinese Footwear Export Industry Struggles For National Brand

BEIJING, July 17 /Xinhua-PRNewswire/ -- Last month, European footwear manufacturers proposed extending anti-dumping measures against Chinese footwear exports. Many signs indicated that the European Union is likely to carry out the proposal, which will make restricted Chinese footwear ( http://www.tootoo.com/w-Apparel_Fashion/ ) exports continue. According to the market statistics from Tootoo.com, Zhujiang Delta, as one of the most important footwear export area in China, exported 940,000,000 pairs of footwear (slumped 25.7%) in the first 5 months this year, with only 2428 footwear exporters now, a decrease of 2331 from last year. However, footwear export prices hiked 45% compared with last year; the export volume reached 3,460,000,000 US dollars, increasing 8% from last year. So quantity reduced, unit price and export volume grew, a complicated phenomenon worth rethinking.

(Logo: http://www.newscom.com/cgi-bin/prnh/20080605/CNTH022LOGO )

In Zhujiang Delta, footwear manufacturing is one of the most significant industries. This industry's change has been the main index for other countries' studying China's industrial reform. At the beginning of this year, in a research note, Asia Footwear Association in Zhujiang Delta ( http://news.tootoo.com/Apparel_Fashion/Footwear/ ) found that among Guangdong's 5,000-6,000 footwear enterprises, more than 1,000 closed down in 2007, involving 150,000 to 200,000 staff. This news aroused media interest at home and abroad. That thousands of footwear enterprises closed down or moved inland suddenly became crucial evidence for Guangdong industry's moving out.

Now, just after a half year from "Thousands of Footwear Enterprises Closure Matter," footwear export statistics let us see a different side of Zhujiang Delta's footwear industry. Although half of footwear enterprises withdrew from foreign markets, this industry's strength has not been weakened. On the contrary, it is growing beyond expectation.

Seemingly, footwear exporters are largely decreasing but their enterprise scales are distinctly expanding; some of the big enterprises are still developing very well. Last year, Zhujiang Delta had only two enterprises with more than 100,000,000 US dollars of footwear exports. This year increased fourfold with the same sales, which demonstrates Zhujiang Delta footwear enterprises ( http://www.tootoo.com/buy-Guangdong_footwear/ ) have been more centralized towards large enterprises.

Zhujiang Delta enterprises' expanding scales and improving technology are the footwear industry's status quo as well as an effective way to compete in the global market. Among the thousands of closed footwear enterprises, many of them were small and middle scales and their total producing strength was inferior to a leading company. The board chairman, from Wenzhou Jinmao Shoes Co., Ltd ( http://www.tootoo.com/d-c2936060-Wenzhou_Jinmao_Shoes_Co_Ltd_/ ) (its annual exports are over thousands of US dollars), said those withdrawing enterprises exported low-price footwear and this was the main reason for the footwear unit price rising.

Tootoo.com, as the biggest global vertical B2B search engine, analyzed that although Zhujiang Delta had massive footwear enterprises close down and withdraw from foreign market, the footwear industry is not going down. It is growing bigger and stronger in scale and quality.

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