Export enterprises trapped in euro devaluation: Mechanical and electrical 0 profit clothing order reduction

-The Evening News comprehensive report 1 euros to exchange RMB at about 10 yuan, at present can only reach to 8.4 yuan, the depreciation margin is about 15%. As a result of the integration of the global economy, any exchange rate movements in any country may have an impact on other countries with which they trade, and this time is no exception.　　The EU is China's main export market, accounting for 16% of China's trade, so the devaluation of the euro in half a year has caused a major impact on Chinese companies.　　Electrical and mechanical products export 0 Li Tcl Communications A senior executive said yesterday that the euro was now devalued and the company had to fulfill its original contract, and that European customers were paying the euro, which meant they had no money to make. In China, there are a few exporters of electromechanical products facing huge cost pressures like the TCL communications executives.　　With the mild recovery of the global economy, as well as China's enterprises "go out" the pace of acceleration, while taking into account the low base factor last year, China's mechanical and electrical products import and export has been a recovery of growth. And in this year's Canton Fair period, the Chinese electromechanical Chamber of Commerce on 296 companies conducted research shows that although the mechanical and electrical industry products sold on average increased by 8%, but because of raw materials and labor and so on, the cost of an average rise of 10%. Recent profits are down 1% from a year earlier.　　The depreciation of the euro makes the profit level of electromechanical products worse. "The Order of the grant in Europe is settled in US dollars, the impact will be, but not big." Liu Guizhong, deputy general manager for overseas operations, said the devaluation of the euro will affect the market price of Chinese goods in Europe, but the problem is that Chinese goods in the European market price is difficult, "the first half of the order has been completed, whether it will affect the second half of European exports, but also to see 7 August orders."　　"In the face of the euro depreciation pressure, mechanical and electrical enterprises have to rack their brains and find ways to mitigate losses." In the face of continued weakness in the euro, Ministry of Commerce spokesman Yao Jian said at a recent news conference that Chinese exporters will bear greater cost pressures and that China's exports to Europe are also negatively affected, "we will pay more attention to the sovereign debt crisis and timely improve China's foreign trade policy."　　Yao said.　　Clothing orders reduced by the current economic uncertainty in the European Union, China's textile and apparel exports to the EU more than 10% of the growth momentum may appear in the second quarter inflection point. Zhou Xiaonan, deputy general manager of Huamei Line Industry Co., Ltd. since last year, the EU's export situation is not ideal, early this year, European Union buyers in order to replenish stock, slightly some rebound, but the end of consumption has not yet been very good, in the near period of exports to Europe again turned to decline, than before the financial crisis fell 40% year-on-year,　　In the recently concluded Canton Fair, almost no EU orders, which can be expected in the next few months exports to Europe will be very bleak. Zhong Haosen, assistant general manager of Guangdong Textile Import and Export Co., Ltd. reflects, for example, in European stores, some jeans basic price for a long time to sell 19.9 euros, and currently in the economic downturn, it is not possible to raise prices, because the EuropeanYuan depreciation, the procurement costs of buyers continue to increase, profit margins have been reduced, so the more forthright European customers have also begun to lower prices, but raw materials and labor costs continue to rise, Chinese manufacturers are basically no room for concessions, coupled with European orders and no U.S. customers, the manufacturers themselves difficult to reduce costs by scale. With the slow recovery of the global economy, the first quarter of this year, Europe, the United States, Japan, Korea and other major export countries and regions of China's apparel industry demand also showed a clear rebound. China's textile and apparel exports in January-March this year 37.903 billion U.S. dollars, an increase of 15.4%, of which the largest export market, the EU exports to 8.107 billion U.S. dollars, the second largest export market in the United States exports reached 5.619 billion U.S. dollars, the increase of 16.82% and 21.83%, respectively, The total accounted for 36.21% of China's total textile exports.　　However, the industry generally reflects that, with the European Union's economic fluctuations, China's textile and apparel exports to Europe may be in the second or third quarter again turned around. First textile network president, senior textile analyst Wang Qian pointed out that on the one hand, the market is worried about the spread of Greece's debt crisis, on the other hand due to the trade cycle of the euro devaluation will have a certain lag, may start in the second or third quarter of this year exports will slow or even negative growth.　　China's trade barometer of the Canton Fair can also be seen, the European Union procurement has signs of weakness. The 107th Canton Fair, which ended 5th this month, has a total of 203,996 overseas buyers from 212 countries and regions, up 8.4% from the autumn fair last year. But the European Union's buyers are down 15.2% from last year's autumn fair, with Japan down 4.6% and the US buying up 3.8%. The number of buyers in emerging markets has increased markedly. The number of buyers from Asia, America, Africa and Oceania has continued to grow.