Shoe Companies Can Cope With Exchange Rate Changes.

After the appreciation of the RMB against the US dollar, Shenzhen's export oriented industries such as toys and clothing have been affected. This year's overall exports in Shenzhen show a trend of slower growth.

According to customs statistics, the total amount of foreign trade and import and export in the 1-2 months was 41 billion 289 million US dollars, an increase of 10.3%.

Total exports amounted to 24 billion 141 million US dollars, an increase of 18.8%, an increase lower than that of the same period last year.

"The impact of RMB appreciation on toy processing enterprises is very obvious, coupled with the pressure of rising raw materials, the production costs of enterprises have increased significantly, and the profit margins have been compressed," said the head of the Shenzhen Toy Association.

Reporters interviewed found that, like toy enterprises, traditional industries such as textiles, footwear, auto parts and accessories were affected by the appreciation of the renminbi to varying degrees.

The added value of these products is low and labor intensity is high. After the appreciation of RMB, the purchasing cost and labor cost of domestic raw materials gradually increase.

On the basis of maintaining the original export price, the profit margin of export products is naturally small.

In the face of the impact of exchange rate fluctuations, enterprises can only rely mainly on "self help".

Industry experts believe that the most important thing for enterprises is to overcome pessimism and not to panic the "self rescue" position. As long as it is scientific and calm, it can avoid the negative impact of exchange rate fluctuations on enterprises.

Professor Xiao Yaofei, deputy director of the international economic and Trade Research Center of Guangdong University of Foreign Studies, pointed out that when the yuan appreciated against the US dollar, the Yuan's comprehensive exchange rate did not rise or fall in the first quarter of this year, which means that the euro and yen have not yet shrunk against the renminbi.

Such positive factors are often ignored by enterprises.

"This information can prompt enterprises to adhere to the road of diversified export markets, while at the time of export negotiations, negotiations with other parties can be made by non US dollar settlement or agreement can be made when exchange rate changes exceed expectations, so as to minimize losses caused by the depreciation of the US dollar."

Chen Shuojian, a professor at south of the Five Ridges College of Zhongshan University, believes that adjusting the product market structure in a timely manner and accelerating the export market to the domestic demand market is also a good strategy for enterprises to deal with exchange rate fluctuations.