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Delta area exporters pleased with business in 2010
06
Sep '10
A recent survey found that, textile and clothing export business in the first half of 2010 was better and beyond imagination in the Yangtze River Delta and Pearl River Delta regions, where most of the exporters are concentrated.

Good Christmas orders have once again galvanized the foreign trade situation, by the end of August and now orders are basically stable and have returned back to pre-crisis level in 2008.

The survey found that many exporters have been able to increase their bargaining power and have been able to transfer the rising costs onto their overseas customers by taking advantage of increased orders.

Meanwhile a few exporters with scale and technological advantages have minimized the risks of currency fluctuation and rising costs through upgrading product technology and value.

Exports in these areas are clearly better than expected. However, experts advise that the better-than-expected growth faces decline risk in later time; export decline may emerge in the fourth quarter or the first quarter next year.

External environment of exports may continue to deteriorate in the future; other risks cannot be ignored such as increased internal pressure of wage rise and fluctuation of RMB exchange rate.

Meanwhile, China's exports also face increased risk of trade protectionism. China has been the biggest victim of global anti-dumping cases for 15 consecutive years since 1995.

China's GDP accounted for 8 percent of world's GDP last year, accounted for 9.6 percent of world's exports, but China was at the receiving end of about 40 percent anti-dumping and 75 percent of anti-subsidy cases in the world.

From January to May this year, 14 countries (regions) initiated 31 trade remedy investigations on Chinese products, total cases involved about US $1.8 billion.

Fibre2fashion News Desk - China


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