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Electrical industry called RMB does not appreciate the short term

2010-4-23

With the expected increase in the RMB exchange rate rise, the Chinese mechanical and electrical industry on the 1st appeal in Beijing, wants the state has promulgated a series of steady foreign demand, policy can be continued this year, and expects the yuan does not appreciate in a short time to safeguard the availability of foreign trade export sustainable development.

 

"The current profit margin is very low mechanical and electrical products, if the exchange rate changes will have significant impact on exports, so hope that the Government introduced the policy of more stable foreign demand." Zhang Yu, president of China Chamber of Commerce Electrical and crystal media in the afternoon forum held that, according to him, in January this year, exports of machinery and electronic products rebounded, but the main reason is to add stocks and foreign clients on RMB appreciation and rising raw materials caused by speculative and not really rebound in foreign demand. The January data also show that China's trade surplus in machinery and electronic products decreased overall this year is expected to optimistic, but still a lot of uncertainty.

 

According to the Department of Electrical and Mechanical Project Coordinator Chamber of Commerce director Han Shengjian introduction, mechanical and electrical products in the export of large complete sets of equipment very long period, including communications, power, petrochemical and other industries. Complete exchange earnings process, short-term needs 1 to 2 years, medium-term needs of 2 to 4 years, the longest reach 7 to 8 years, the RMB exchange rate stability can beat rival firm has been crucial to the markets . 2009, the entire contract amount of machinery and electronic products 900 billion, the current orders in hand for the 150 billion to 200 billion U.S. dollars, once the RMB exchange rate, each 1 percentage point rise, companies will lose 12 billion, if the rise to 5 percent, that is, 600 to 70,000,000,000 U.S. dollars of losses.

 

"This is not only businesses can not afford the loss, while the exchange rate appreciation would result in superposition, and Europe and the United States, South Korea compared to other major competitors will lose competitive advantage, short term corporate profits is eaten, but the long term will affect the whole industry of development. "Hansheng Jian said.

 

Customs data shows that, in January, China's total import and export of electromechanical products 106.007 billion U.S. dollars, up 40.7%, exports 62.509 billion U.S. dollars, an increase of 27% and imports 43.498 billion U.S. dollars, up 66.1%, machinery and electronic products trade surplus of 19.01 billion U.S. dollars , down 17.1%.

 

As the representative of the U.S. corporate group vice president of Xinhua Wang Gang said the recent warming is because most of the exports of raw materials have made companies eager to increase orders, real economic rebound is not coming. After the Spring Festival this year, the staff is not very satisfactory return, pay 1,500 yuan in previous years, is now close to 1,800 yuan.

 

The Beijing Motor Factory ZHANG Zhen-yong, vice president, said companies are now just slow tone, in 2007 and 2008, each quarter the price to be negotiated, the pressure is very large, but now companies are increasingly weak bargaining power, and most of Electrical and export business fell 30% to 40% from the original Beijing Motor Factory Liu Cheng's export ratio down to four percent in 2009.

 

ZHANG Zhen-yong that the difficulties in the international competition is manifested in three aspects, the first is the brand competitiveness, and the second is more foreign enterprises while maintaining futures projects and financial instruments, making the wind facing