"In the first half of this year, our orders grew by more than 10% year-on-year, of which May grew particularly much, although it is the traditional take orders off-season."Liu Junming, general manager of Yiwu Eilingnuo Sanitary Ware Co., Ltd. order results, in the global market demand weak environment, looks quite bright but also become Yiwu import and export data to counter the surge in contributors.In the first half of this year, Yiwu City, foreign trade import and export value exceeded the 200 billion mark.According to the latest data, from January to June, in Yiwu City, the total value of imports and exports amounted to 222.25 billion yuan, an increase of 32.8%; exports of 202.95 billion yuan, an increase of 28.3%; imports of 19.30 billion yuan, an increase of 109.5%, the growth rate was higher than the province 15.5, 8.0 and 99.7 percentage points, import and export, export and import value accounted for the province's share of The share of import and export, export and import values in the province were 9.8%, 12.2% and 3.2% respectively, an increase of 1.1, 0.8 and 1.5 percentage points compared with the same period last year.In Yiwu, the "Commodity Capital of the World", foreign trade people like Liu Junming are using more diversified tools and multi-dimensional ways such as disruptive innovation to actively explore the market, showing resilience and competitiveness in the epidemic and the complex external environment.80% of new customers come from onlineThe epidemic has brought serious challenges to foreign trade enterprises but also promoted the digital and e-commerce transformation of the foreign trade industry.Liu Junming, who has been engaged in the export of sanitary products for nearly 30 years, started to make efforts online in 2020. On the one hand, he is fully enrolled in China goods, the official online trading platform of the Yiwu market, to make full use of the private domain traffic on the platform and obtain customers precisely; on the other hand, he is deeply engaged in the public domain traffic of overseas social networking platforms such as Facebook to maximize market and customer sources.Liu Junming suggested that this year, initially facing the challenge of rising raw material prices, and later by the impact of the epidemic, overseas market demand has declined, and the entire bathroom industry has ushered in a rather difficult year. And one of their approach to bucking the growth trend is the use of a variety of online platforms and tools to take the initiative.According to Liu Junming, in the first half of this year, 80% of their new customers came online and were beneficiaries of cross-border e-commerce and live streaming and other online methods. The performance, which is bucking the trend, is contributed by the live-streaming team of five to six people."I take part in live streaming myself. when the epidemic started in 2020, I was broadcasting by myself. Then one by one, it was handed over to the business team, mainly by the original salesman, who adjusted what was originally explained in person to be explained online, twice a week." In Liu Junming's experience, the online platform is very interactive, especially with private domain traffic. They will also do specific analyses for customer needs, and then combine policies such as product launches and promotions to focus on breaking through to customers to increase the success rate of landing orders.In response to the impact of the epidemic, the new retail format of "live streaming + e-commerce" has become the norm for Yiwu Trade City operators, and has made them core suppliers to several international e-commerce companies and online celebrity anchors. Taking Chinagoods as an example, in the two years since its launch, the platform has been online in English, Arabic, Spanish and other languages, with over 60,000 physical shops, integrating 2 million small, medium and micro enterprises upstream and downstream, and more than 5 million types of goods, achieving a 90% year-on-year increase in transaction volume in the first quarter of this year, with a cumulative turnover of over 21 billion yuan.
Along with the rapid rise of cross-border e-commerce, the layout of overseas warehouses has become an important foundation. To this end, Yiwu initiative in the global layout of overseas warehouses, so that enterprises can join this supply chain system, with the help of overseas warehouses for delivery, to achieve the effect of faster cross-border live delivery, and eventually evolved into a domestic live receiving order, overseas warehouse direct delivery of efficient mode.At present, Yiwu has been in Dubai, the United States, Spain, Belgium, Germany, and other places, through self-built, joining the layout of more than 140 overseas warehouses and relying on the resources of the overseas sites, in the Czech Republic, Rwanda, Benin, Japan, Spain, and other 15 countries and regions to land "take you to China" showroom.To help merchants develop overseas markets, in addition to overseas warehouses and showrooms, Yiwu also pioneered the "Yiwu market" directly to the overseas customers' "doorstep".On June 30, Yiwu market "global strategy" in the first overseas sub-market - Dubai Yiwu China Commodity City officially put into operation. On an opening day, a large number of foreign buyers who could not arrive in Yiwu due to the epidemic, were at the "doorstep" to complete the sample, select products, and place orders. This "Commodity City" will radiate around (Middle East, North Africa, Europe, etc.) nearly 1 billion people consumer market.
Official data show that the market procurement-led Yiwu, general trade in the first half of the year achieved high growth.From January to June, Yiwu City through market procurement trade exported 151.93 billion yuan, an increase of 21.0%, accounting for 74.9% of the total export value of Yiwu City, pulling the city's export growth of 16.7 percentage points; general trade import and export 60.61 billion yuan, an increase of 57.2%, the city's import and export growth contribution rate of 40.2%. During the same period, the import and export through bonded logistics were RMB 9.50 billion, an increase of 218.8%.From micro-innovation to disruptive innovationIn addition to the transformation line, Liu Junming's other of their counter-trend drivers come from disruptive innovation.In Liu Junming's words, they put more effort into new products this year and the cycle is longer. This is because in the context of the epidemic, companies have increased the rate of micro-innovation to gain customers, and today micro-innovation accounts for over 90% of the total, so the overall effect is declining and competition is becoming more intense. For this reason, the perceptive Liu Junming has given his team's innovations a differentiated positioning - the functions must be forward-looking, the styles must be bright, and the initiative to change lanes to strive for disruptive innovations, not just micro-innovations.The new material, officially launched in March this year, has given Liu Junming a return on their 2 years of continuous investment in research and development, and also allowed them to reduce the original copper-based costs in raw material substitution, holding onto profits while attracting more customers with more innovative and competitive new products. In addition to a reduction in costs, this new material for bathroom products also adds anti-bacterial features.For a foreign trade enterprise of daily necessities in Yiwu, the accelerated launch of new product sales also achieved a 50% increase in the first half of this year. "When new products come out, the degree of customer demand will be high, which directly leads to an increase in sales." The head of this company said.However, achieving disruptive innovations not only requires a longer period of investment, but also a larger capital cost. For this reason, Liu Junmin's approach is to invest and share patents with several peers with different channels, as well as overseas customers who wish to hold exclusive local distribution rights, "so that the success rate and returns are higher."According to his estimates, the new material, which has been in development for about two years, is expected to pay for itself in about a year after its launch this year. And they are also stepping up for this new material and doing the new product design and marketing.Official data show that in the first half of the year, Yiwu electromechanical products and the proportion of exports of labor-intensive products were more than seventy percent, and high-tech product exports doubled.From January to June, Yiwu exports of mechanical and electrical products were 80.97 billion yuan, an increase of 34.8%, accounting for 39.9% of the total export value of Yiwu; of which, exports of diodes and similar semiconductor devices were 15.26 billion yuan, an increase From of 335.1%; exports of solar cells 15.21 billion yuan, an increase of 336.3%. The export of labor-intensive products is 77.39 billion yuan, an increase of 24.6%, accounting for 38.1% of the total export value of Yiwu City; among them, clothing and clothing accessories, plastic products were exported at 21.98 billion yuan, 20.04 billion yuan, an increase of 36.1%, 19.9%. During the same period, high-tech products exported 18.05 billion yuan, an increase of 183.7%.Exploring "exhibiting on behalf of" the brandLiu Junming's third trick is to continue to develop local customers to help develop overseas markets and have them participate in important exhibitions abroad on our behalf."There are more foreign customers who directly help us to 'exhibit on our behalf. After the epidemic has stabilized, we will also take the initiative to participate in well-known exhibitions at home and abroad." He believes that exhibiting is particularly important for brand building and is a key channel for them to get a closer look at the market and market trends.For many foreign traders, attending exhibitions is also an important way to bring new products to market and attract new customers. After all, trade orders are still to be discussed in person to achieve a high success rate, in addition, to directly bringing samples out to show, but also through the skills of face-to-face negotiations to win the trust of customers.In fact, since last year, Yiwu has begun to actively promote overseas exhibitions "on behalf of the exhibitor" this innovative model helps enterprises across the country, to develop markets."Exhibiting on behalf of" refers to the normal overseas exhibition, but the exhibitors can not reach the overseas exhibition site, can be entrusted to the staff at the overseas exhibition site instead of the exhibitors responsible for on-site contact with buyers, buyers through the booth site communication tools and exhibitors to negotiate online.Lv Zhifei, head of Yiwu Guangjian Import & Export Co., Ltd, attends the Las Vegas International Apparel and Fabrics Show every year. During the epidemic, Lv Zhifei was not "absent" either. On 14 February local time, he sat in his office in Yiwu and participated remotely via video in one of the world's largest integrated textile events.He said that he had participated in this exhibition for many years, but this year he participated for the first time through a "proxy" model. In the beginning, he was not sure of the results, but after a few days, the results far exceeded expectations.According to official statistics, in this exhibition, Yiwu, a total of 18 enterprise exhibitors, set up 25 booths, of which 17 enterprises participated in the "proxy" mode, to achieve "offline product display + online real-time negotiation" of efficient docking.Among these exhibitors, more than 80% of them were satisfied with the results of the exhibition, among which 12 exhibitors met more than 10 buyers through the "substitute exhibitor" mode, and 15 enterprises obtained orders with an intended turnover of more than US$500,000, and 3 enterprises had an intended turnover of more than US$500,000.The relevant personnel of the Yiwu Municipal Bureau of Commerce suggested that the "proxy exhibitor" model is one of the ways to enable exhibitors and buyers to communicate face-to-face under the background of the current epidemic prevention and control, effectively solving the domestic suppliers' "customers can't come in, enterprises can't go out, samples can't be touched" dilemma. The dilemma.To support Yiwu foreign trade people based on their own needs to actively participate in foreign exhibitors or try to "exhibit on behalf of" the model, Yiwu specifically issued a related policy. Previously, the Yiwu City Bureau of Commerce announced the "2022 Yiwu City, overseas exhibition support directory", 179 overseas exhibitions, nearly half of the support "on behalf of the exhibitors".At the State Council Policy Briefing on June 8, Wang Shouwen, Vice Minister of Commerce and Deputy Representative for International Trade Negotiations, proposed that in the effort to help foreign trade enterprises grasp orders and expand the market, the measures taken now are to optimize the innovative online exhibition mode, to create country exhibitions, professional exhibitions, and special exhibitions, to help enterprises obtain more foreign trade orders. Small and medium-sized enterprises are encouraged to negotiate with foreign customers online within the country and transport their products overseas for offline commodity exhibitions. Strengthen the linkage and mutual promotion of online Canton Fair and cross-border e-commerce platforms to facilitate business transactions.With a series of tools and ways of innovative attempts and policy implementation, Yiwu's import and export growth to major trade markets is faster.In the first half of this year, Yiwu imported and exported to Africa 37.71 billion yuan, an increase of 8.1%; imports and export to the EU of 29.86 billion yuan, an increase of 72.1%; imports and export to the United States 28.73 billion yuan, an increase of 74.8%; import and export to ASEAN 24.57 billion yuan, an increase of 15.7%. Imports and export to India and the United Arab Emirates were 11.47 billion yuan, and 6.12 billion yuan, an increase of 95.7% and 51.9% respectively. During the same period, Yiwu's total import and export to countries along the "Belt and Road" was 83.61 billion yuan, an increase of 17.6%. The import and export to other RCEP member countries were 37.40 billion yuan, an increase of 32.7% year on year.