Companies use ingenuity to counter quake
April 30, 2011, Saturday
|
Print Edition
Print Edition
COMPANIES in Minhang that conduct import-export business with Japan are feeling the pinch of the economic aftershocks of the devastating March earthquake and tsunami. Some are showing great resourcefulness in coping with the setback.
At the Shanghai Tiqiao Textile & Yarn Dyeing Co, Yang Qinrong, vice president and sales manager, has been busying writing emails to Japanese customers to ascertain what they need most.
The privately owned company, located in Pujiang Town, makes colored yarns, knitted fabrics and clothing. It exports 90 percent of its products to overseas market, with 40 percent going to Japan.
Yang said the company has seen a sharp decrease in orders from Japan and is trying to diversify into the domestic market and other international markets to bridge the gap.
"We will provide textiles to Yiwu, the heart of the small commodities industry," Yang said. "We reckon we will see a rise in demand for cheaper clothing after the quake."
Tiqiao is also producing more low to mid-end knitted garments for Japan and is searching for new markets in Europe, Yang said.
The firm has established links with Walmart, the biggest US retailer, and other clothing chains such as Gap and Marks & Spencer.
Meanwhile, at Shanghai Star Modern Agriculture Equipment Co, a Sino-Japanese joint venture, the staff is accelerating their efforts to develop the company's own parts in face of a break in the supply chain from Japan.
Ding Weikang, general manager of the company, said he remains optimistic about the company's prospects, despite the disaster that left parts of Japan in ruins.
"Our company is affected by a shortfall of parts for agricultural equipment, but the situation is not as dire as one might be expected because we were already involved in efforts to build out own parts here," he said.
The majority of parts used by the company were previously imported from Japan for assembly and processing in Minhang. Now the factory is making 90 percent of its own parts and even exports some to Japan.
"It's dangerous to be too dependent on a single source of supply," he said.
The firm is developing a mowing and flattening machine, which costs about 170,000 yuan if imported from Japan but is half the price manufactured on site here. The new equipment is expected to come in line within a year, Ding said.
The company is also adjusting its export strategy. Last year, it exported 20 million yuan of products to Japan and 6 million yuan to other countries, including South Africa, Iran and Britain. This year it expects exports to Japan to halve, while exports elsewhere will be expanded to more than 10 million yuan.
At the Shanghai Tiqiao Textile & Yarn Dyeing Co, Yang Qinrong, vice president and sales manager, has been busying writing emails to Japanese customers to ascertain what they need most.
The privately owned company, located in Pujiang Town, makes colored yarns, knitted fabrics and clothing. It exports 90 percent of its products to overseas market, with 40 percent going to Japan.
Yang said the company has seen a sharp decrease in orders from Japan and is trying to diversify into the domestic market and other international markets to bridge the gap.
"We will provide textiles to Yiwu, the heart of the small commodities industry," Yang said. "We reckon we will see a rise in demand for cheaper clothing after the quake."
Tiqiao is also producing more low to mid-end knitted garments for Japan and is searching for new markets in Europe, Yang said.
The firm has established links with Walmart, the biggest US retailer, and other clothing chains such as Gap and Marks & Spencer.
Meanwhile, at Shanghai Star Modern Agriculture Equipment Co, a Sino-Japanese joint venture, the staff is accelerating their efforts to develop the company's own parts in face of a break in the supply chain from Japan.
Ding Weikang, general manager of the company, said he remains optimistic about the company's prospects, despite the disaster that left parts of Japan in ruins.
"Our company is affected by a shortfall of parts for agricultural equipment, but the situation is not as dire as one might be expected because we were already involved in efforts to build out own parts here," he said.
The majority of parts used by the company were previously imported from Japan for assembly and processing in Minhang. Now the factory is making 90 percent of its own parts and even exports some to Japan.
"It's dangerous to be too dependent on a single source of supply," he said.
The firm is developing a mowing and flattening machine, which costs about 170,000 yuan if imported from Japan but is half the price manufactured on site here. The new equipment is expected to come in line within a year, Ding said.
The company is also adjusting its export strategy. Last year, it exported 20 million yuan of products to Japan and 6 million yuan to other countries, including South Africa, Iran and Britain. This year it expects exports to Japan to halve, while exports elsewhere will be expanded to more than 10 million yuan.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
