Since the furniture export tax rebate rate increased from 13% to 15% in June 2009, the year-on-year growth rate of Guangdong furniture exports continued to rise. After a single month of export of US$1.02 billion in November last year, exports in December reached a record high of US$1.15 billion, up 28.3% year-on-year and 13.3% quarter-on-quarter, all due to furniture companies’ products. "Change face".
Yang, the chairman of Dongguan Taiwan-funded enterprise Guangtong Glass Products Co., Ltd., told reporters yesterday that as a number of export furniture supporting glass manufacturers, he can clearly feel the improvement of furniture export situation. In early 2009, orders fell by about 30%, and In the fourth quarter, the situation improved significantly. In recent months, orders have increased by 20%-30%. In addition to benefiting from the gradual recovery of external demand, this phenomenon is also related to the furniture company's self-adjustment of product structure. It is said that the increased orders are basically new.
Yang said that the new product not only brings more orders, but also allows the company to maintain a profit of about 15%. Older products are almost close to zero profit and even easy to lose money, which forces companies to continuously design and develop new products. Guangzhou Customs statistics show that in 2009, Guangdong's cumulative exports of furniture was 9.96 billion US dollars, down 2.9% over the same period of the previous year.
Guangzhou Customs reminds enterprises that the technical barriers frequently introduced by countries such as Europe and the United States are increasingly restricting the export of Guangdong furniture. Not only does it significantly increase the export cost of enterprises, but it is also easily imitated and abused by other countries. The external pressure on furniture exports will increase significantly. Technical barriers include the European Union's timber and wood products specifications and new environmental design directives passed in April 2009. The United States has introduced the Lacey Act (Amendment) and will apply the products to the furniture products on April 1, 2010. Act and so on.
The United States and the European Union are the main export markets for Guangdong furniture. In 2009, Guangdong exported furniture to the United States and the European Union for US$3.38 billion and US$2.17 billion, respectively, down 15.3% and 7.6% year-on-year, which together accounted for the total value of Guangdong's furniture exports during the same period. 55.6%. During the same period, exports to ASEAN reached US$1.15 billion, a surge of 1.4 times.
Mr. Fan, a furniture exporter in Shenzhen, said in an interview that many furniture companies have invested more in the increase in the tax rebate rate for design and development, rather than price competition. Now the global technical standards for the furniture industry are getting higher and higher. The cost is increased by about 10%. In this case, it is necessary to rely on new products to keep the company profitable.
“We used to export to Europe and the United States mainly by OEM. After trying to design ourselves, we found that some European and American customers are also willing to outsource the design to us. In Southeast Asia, customers are more able to accept furniture designed by us, and orders are doubled and greatly reduced. The pressure on exports to Europe and the United States in 2009." Fan said.
Hu Qizhi, secretary-general of the Guangdong Industrial Design Association, has a deep understanding of this. Some furniture companies in Guangdong design furniture for customers according to the housing structure of different countries or regions, and can obtain more profits by providing value-added services.
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