The South China Sea situation has no effect on domestic ceramic exports to Southeast Asia

On June 13th, Vietnam held a 10-hour live-fire exercise in the South China Sea. On the 13th, the Philippines openly declared that it would conduct joint exercises with the US military in the South China Sea. With the intervention of the United States, the Philippines and Vietnam want to rely on American forces to divide up China. With regard to territorial rights, the issue of Filipino and Chinese territorial rights over the South China Sea has constantly escalated.

Before this, China has already encountered anti-dumping in Thailand. Then, has the turbulent situation in Southeast Asia affected domestic ceramic exports? In response, the reporter deliberately conducted investigations in Foshan, Yimen, Pingxiang, and Fujian provinces. The survey showed that the situation in Vietnam had no effect on the ceramic exports from all regions.

Foshan, Fujian, Pingxiang:

The situation in Vietnam has no impact on Southeast Asia's exports. Foshan's Louvre ceramics, Kangtuo ceramics, Jiatleli ceramics, gold silk Yuma and other ceramic companies have told reporters that the current situation in Vietnam has no effect on ceramic exports.

According to Zheng Hongyuan, manager of Kangtuo's ceramics export department, Kangtuo ceramics exports accounted for about 30% of total sales, and exports to Southeast Asia accounted for about 80%, mainly exported to the Philippines, Vietnam, Thailand, Singapore and Indonesia. Although the proportion of exports to Southeast Asia is relatively large, Zheng Hongyuan said: “The local turmoil has a minor impact on the whole, ceramics have a larger demand in Southeast Asian countries, and small-scale conflicts at the political level have little impact on the economy.”

Xiong Jian, director of marketing at the Louvre, said: "Unless you really fight it, it shouldn't matter." According to Xiong Jian, the Louvre's current sales are still domestic and its exports account for only 10% -15 About %, and Southeast Asia accounted for less in the entire international market, about 2% -3%. Although there is no impact at the moment, Xiong Jian said that it is still relatively worrying. After all, developing a market is not easy, and it takes a lot of manpower and material resources.

According to Zheng Hongyuan's introduction, the situation in Vietnam has little impact. Instead, it is the anti-dumping incident in Thailand. The blow to the entire Foshan ceramics industry is not inferior to the EU's anti-dumping. “The anti-dumping in Thailand is mainly targeted at the antique brick market. The list of preferential tax rates listed by the Thai government is only about 50, and the tax rate is about 2% to 5%, of which more than 80% are polished brick companies, while other non-preferential tax companies The tax rate is as high as 35%. It is estimated that more than 80% of antique brick companies will directly withdraw from the Thai market." Zheng Hongyuan said.

Fujian Huatai Group, Jinjiang Cozy Ceramics Co., Ltd., Fujian Honghua Group, Mingsheng Ceramics Co., Ltd., Jinjiang Haoda Building Materials Co., Ltd., and other companies all have antique bricks exported to the region. These companies also said that the current situation has not felt Impact on product exports. According to the survey, Pingxiang has not been affected at present.

Yunnan:

The near-worry and lack of concern are inevitable. With the construction of the “bridgehead” in Yunnan as a national strategy, foreign trade in Yunnan and ASEAN countries has maintained rapid development. Among them, the growth rate of foreign trade with Vietnam is the largest among ASEAN countries, and has a good development prospect. . The dispute over the South China Sea has caused the international situation to be tense and will inevitably affect the development of trade between Yunnan and Vietnam. According to a survey by the reporter, the Sino-Vietnamese issue has a certain influence on the export of ceramics from Yunnan, but because the export channels of ceramic products are not yet complete and the export volume is not large, the impact is currently minimal.

Production in Yunnan producing areas is based on middle and low-end products. Countries such as Vietnam, Myanmar, Laos and Yunnan, which are in close proximity to Yunnan, are mainly low-end in the consumption of building materials due to their underdeveloped economy. The development of these countries makes their markets continue to expand. With the fierce competition in the domestic building materials market, the market Saturated, Yunnan-based companies began to look at these Southeast Asian countries. A business owner stated that these countries are lagging behind in economy, and the ceramic industry is also quite backward. Even some products that we have eliminated at home are still very popular in the past, and Yunnan production areas are geographically occupied compared with other producing areas such as Sichuan and Jiangxi. To make full use of its advantages, the export of products to Southeast Asia is an important channel for expanding the market in Yunnan. Zhou Liming, the deputy governor of Yimen County, also said that the government encourages ceramic companies to export and rewards the enterprises that make exports. It declares: “Now, Yimen is going to open up the market, and the main battlefield will be exported in Southeast Asia and now exports. The proportion is still very small and the space is still very large."

According to Zhou Liming, in 2010, the government of the Yimen production area began to vigorously support exports. Through Ruili and Estuary exports to Vietnam, Myanmar, Laos and other countries, the export value was only 3 million US dollars, and the proportion of total sales was quite small. . The government intends to increase its efforts to promote exports in 2011 so that exports will at least double in 2010. Even so, the total export volume of Yimen ceramics to the three countries is still very small, and due to the influence of the international situation, the government’s promotion of export opportunities has been temporarily suspended.

A person in charge of the company stated that the focus of their market expansion in 2011 was to enter the Southeast Asian countries and seize the market share of these countries with location and price advantages. In Myanmar, due to channels, this year's trade has already begun to do. The company’s plan to send Vietnamese market researchers is planning to set off in the near future. Due to the impact of the current situation, the plan was temporarily cancelled. However, the responsible person also stated that compared with Myanmar, Vietnam is more optimistic about the market potential of the latter.

Jiajiang:

Exports have now ceased. Around 2005, a small number of ceramic enterprises in Jiajiang exported their products. These products are mainly sold to the United States, the Middle East, Southeast Asia and other countries and regions. It is understood that the total export volume of Jiajiang ceramics enterprises has not exceeded 10 million U.S. dollars at present, and the major export products are glazed tiles.

It is understood that Sichuan Yuanda Porcelain Co., Ltd. is the only small and medium-sized ceramic enterprise in Jiajiang that has conducted export trade. The products exported are mainly exported to Middle East, Southeast Asia and other countries. In the past two to three years, Yuanda Porcelain has stopped its export business and turned to the domestic market.

Like most domestic export ceramics enterprises, Jiajiang Ceramics can be sold abroad relying on the price advantage, foreigners in the purchase when the first comparison is the product price. With the establishment of new local ceramic production bases and the rapid increase in transportation costs, Jiajiang ceramics products are already at a disadvantage in export prices. This is the main reason for the interruption of the export of Jiajiang Ceramics.