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“In 2020, are there any industries that are more worried than foreign trade?”

During the moment, “World Factory” Dongguan is staged such a boastful scene:

On March 18, Panduit Toys Co., Ltd. abruptly announced its closure due to a sudden decline in business volume due to the cancellation of foreign trade orders and a break in the capital chain. On March 21, Dongguan Precision Watch Co., Ltd. said Fossil cancelled or suspended its original production orders , Leading to a major crisis in the company, facing the risk of shutting down at any time.

Within 3 days, the two factories were closed and thousands of employees made their own living-this is just the tip of the iceberg of the current situation of the domestic foreign trade industry under the impact of overseas epidemics.

I’m afraid that everyone did not expect that the domestic epidemic situation has just survived, but the foreign epidemic situation is even more fierce. “At present, the company’s order volume has dropped significantly, and even peer orders have fallen by 80%, so we can only find a way to survive.” A Guangdong boss who has been engaged in foreign trade for many years told the investment community.

“The domestic market has just finished the first half, and the foreign countries continue to watch the second half. The experience of factories in the Pearl River Delta region is just a microcosm of the domestic foreign trade industry.

Overseas epidemic situation is urgent, 2 factories are closed in 3 days, and employees are advised to make a living by themselves

This spring, Dongguan’s foreign trade factories have closed one after another.

“Traffic in Dongguan, out of stock worldwide.” Dongguan occupies a dominant position in China and even in the global manufacturing industry, and it is difficult to shake it. However, with the outbreak of the global epidemic, Dongguan is staged a scene: some foreign trade factories disappeared overnight.

The first Panduit toy factory that has been in business for 28 years cannot support it. March 18On the day, Fanta Toys Co., Ltd., located in Chashan Town, Dongguan, caused a sudden drop in business volume due to the cancellation of foreign trade orders, the capital chain was broken, it was unable to maintain normal operations, and the corporate legal person lost contact.

“There are still suppliers supplying materials on March 17.” Unexpectedly, this large toy manufacturer with more than 1,200 employees who had supplied to world-renowned companies such as Disney and Hasbro would disappear in such a hurry.

Screenshot from Douyin video

The employees are filled with emotion. “Panduit is our place of work and memories of the people in the 1960s and 1970s … It is really sad to have worked hard for 28 years, and to close because of the epidemic.” There are also veterans who have worked in Panduit for nearly 13 years. The circle of friends sighed, “The company accompanied me to grow together and witnessed the changes of the times. The company has been in business for 28 years. Although it has also faced ups and downs, it has survived these years …”

Unfortunately, this time Panduit Toy Factory failed to survive. At present, the special working group of the Dongguan Chashan People’s Social Security Bureau has coordinated to resolve the follow-up matters of closing the business-posting the announcement of evasion of wage arrears in the company’s factory area, and the lessor of the factory will pay the salary in advance.

Panda Toy Factory is not alone. On March 21, Dongguan Precision Watch Co., Ltd. issued an announcement in the factory, stating, “At present, the new crown pneumonia epidemic is raging around the world, especially in Europe and the United States. The company’s most important customer, Poly, ‘Fossil’ belongs to the American brand, and has now stopped all Order, and the requirement to cancel or suspend the original production order, which caused the factory to fail to start normally. The company has already encountered a major crisis and is facing the risk of shutting down at any time.

In a crisis, you can only survive with broken arms. The precision watch industry said that it accepts all employees’ (regardless of rank and position) to resign, and the immediate resignation will not deduct the notice in lieu. At the same time, the precision watch industry decided to make holiday arrangements for the whole plant according to the needs of the operation and the situation, and the time was tentatively set for 3 months.

In 3 days, two large factories were forced to step on the emergency brakes, and people couldn’t help but regret it. However, under the shock of this overseas epidemic, the embarrassment of Dongguan Foreign Trade Company tightening its belts to live is just a microcosm of the status quo of the entire foreign trade company.

For two months in foreign trade factories: Orders have plummeted and employees have weekly holidays

“A lot of foreign trade companies and factories have been closed for vacation.” Foreign trade people never expected that this would be the case after the resumption of work.

The real-time statistics of the World Health Organization show that as of 1:00 on March 27, Beijing time, 465,915 cases of new crown pneumonia have been diagnosed worldwide. At present, confirmed cases have occurred in 199 countries and regions, and more than 380,000 new crowns have been diagnosed outside China. The grim situation is evident.

With the spread of the epidemic, more than 60 countries or regions around the world have declared a state of emergency, such as Switzerland, Spain and the Philippines. At the same time, there are still some countries or regions that have announced the closure of the country and the city closure. Feng Guo and so on.

The impact of the global epidemic is gradually emerging, and the foreign trade industry bears the brunt. A picture widely circulated in the circle of friends of foreign trade people vividly illustrates the situation of the foreign trade industry-in 2020, foreign trade is the most difficult industry. Domestic players have just finished the first half and foreign countries continue to play the second half.

In the spring of 2020, it will be difficult for the foreign trade industry to survive. One practitioner shared his observations on the knowledge: the foreign trade market will be very poor in the first half of this year. Due to the spread of the epidemic abroad, a large number of orders were postponed or cancelled. From the point of view of the United States, department stores and large shopping malls have begun to close, and a large number of orders will be put on hold.

A Guangdong boss who has been engaged in foreign trade for many years told the investment community, “Now my company ’s order volume has decreased sharply, and even my peers’ order volume has plummeted by 80%. I can only find a way to survive. ”The other side admitted,“ The epidemic abroad is serious Later, the order was cut directly, and there was nothing to do every day. If this epidemic lasts for a few months, I may even have to find a job. “

In fact, it is not just the Pearl River Delta region that is affected. “A lot of companies in Quanzhou, Fujian have closed down and advised employees to seek their own way out.” Netizens sighed, even the famous production sites of shoes and clothing could not stay out. “I have recently chatted with a friend in Fujian. The factory has no orders, and the employees are basically resting. If this continues, the factory will not be able to sustain it for 2 months.”

The whole body is touched. Foreign trade factories have a hard time, and cross-border e-commerce business is difficult to do. An employee of a Shenzhen auto and motorcycle cross-border e-commerce company told the investment community, “Before the overseas epidemic became severe, the daily transaction volume of a single store was about 100 orders, and the average transaction amount of the order was $ 100, which means that a single store ‘S daily turnover exceeds RMB 70,000. “

However, the overseas epidemic disrupted everything. “Now we have nothing to do at work, consultThere are many fewer customers and sales have plummeted. “

As far as the current situation is concerned, even if you have an order, you may not be able to make money. “Now most of the routes of international airlines are grounded, and many countries and cities are blocked. Sometimes, the goods will be complained if they are not delivered. It may be a loss to complete an order, and I would rather not do it.”

A vigorous self-rescue: the school bag factory shifts to production of masks, one million yuan a day

On the one hand, there is an overseas epidemic that is not yet clear, and on the other hand, there are terrible foreign trade enterprises. Both sides knock down and force a wave of self-help.

Re-production of masks is undoubtedly the first option. In this outbreak, the mask machine is the “money printing machine”. “I have a friend who was originally engaged in the mask business. In the past, when three or five friends met, he could not help complaining that the market was deserted and he was worrying about sales every day.” The owner of a cross-border e-commerce company in Shenzhen told the investment community, “Now This mask factory makes 1 million per day. ”

“It is no exaggeration to say that now customers are queuing up with cash and begging him to place an order. In the past, there were thousands of orders and they were happy to spend. Now orders below 5,000 are unwilling to accept. Less. “Masks business is booming.

Taking advantage of the wind, foreign trade factories with conditions for conversion have successfully landed. A practitioner in the foreign trade industry told a real case to the investment community, “A foreign trade factory located in Dongguan, which originally specialized in producing schoolbags, stationery and other products, has now switched to masks due to the epidemic situation. The overseas epidemic is escalating, and medical protection supplies are hard to find. If this wave of opportunities can be seized, foreign trade factories will be self-helping.

Of course, not all foreign trade factories have the conditions to convert medical protection products. So, how can foreign trade factories in other industries help themselves?

Export doesn’t work. Look back at domestic sales. Looking at the financial crisis in 2008, the desire for foreign consumption has decreased, the market has clearly weakened, and China’s exports have once encountered severe challenges. At that time, foreign trade companies turned to domestic sales one after another, shifting from the foreign market to the domestic market.

Now the domestic market is releasing good news, and various measures have been introduced to promote consumption and boost domestic demand. The first big move is to extend the vacation time-Jiangxi trials a 2.5-day flexible rest schedule on the weekend, Zhejiang encourages 2.5-day rest a week, and Longnan, Gansu also supports a 2.5-day weekend.

If you want to spend, you must have not only time, but also money—Nanjing City has issued a total of 670,000 consumer vouchers online, which will drive consumption of nearly 10 million yuan in five days; GuangxiAnnounced the issuance of 100 million yuan of consumer vouchers through Alipay to encourage local consumers; Hangzhou decided to issue a total of 1.68 billion yuan of consumer vouchers to encourage consumers and stimulate offline consumption.

Looking back at the epidemic, things are not so pessimistic. From another perspective, the epidemic is a catalyst for accelerating industrial transformation and upgrading. Taking Dongguan Precision Watch Co., Ltd. as an example, the traditional watch industry has started to decline in recent years, and the epidemic has only accelerated the innovation of backward industries.

What’s more, a steady stream of new industries will be born under the epidemic. Chen Yuyu, a professor at the Guanghua School of Management, Peking University, for example: The already prosperous e-commerce industry will continue to develop at a high speed and cause global coverage. Telecommuting will flourish. Telemedicine will break through various policy controls and combine with 5G technology to develop rapidly. Distance education will also start a new era.

Anyway, the epidemic will eventually pass. As the world’s largest trading nation and largest exporter, China is closely related to global dynamics. We who have just passed through to the dark moment, at this moment, hope that the global epidemic will dissipate as soon as possible, and everyone will open the door to welcome customers and do business together.