The “epidemic” has transformed into a higher level

PM01 Compared with the 2008 financial crisis, in the face of this round of crisis, Dongguan has a stronger ability to resist risks. There are three sets of data worthy of attention: Dongguan’s foreign trade dependence has dropped from the peak of 400% to the current 140%; The proportion of processing trade has dropped from more than 80% at its peak to 37% at present. The proportion of domestic sales by foreign-funded enterprises reached 36.5 percent.

PM01 Huang Zhaodong, deputy director of the Commerce Bureau of Dongguan City, believes that during the financial crisis in 2008, Dongguan suffered heavy losses, but since then Dongguan has continued to promote industrial upgrading and transformation, and the industrial structure has changed significantly. From the perspective of foreign-funded enterprises, it has changed from the past “big in and big out” to actively explore the domestic market. Data show that in 2019, domestic sales of foreign-funded enterprises in Dongguan City reached 442.51 billion yuan, an increase of 10.1%, and domestic sales accounted for 36.5%. This nearly 40% sales share has become the key to survival under this round of shrinking overseas demand.

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Under the pressure of the epidemic, on April 10, Dongguan City held a conference on the high-quality development of the city’s manufacturing industry and non-public economy, launched a three-year action plan for PM01 the high-quality development of the manufacturing industry, and clearly proposed to grasp the current economic operation with a “wartime state”. At present, Dongguan has set up an economic operation monitoring and dispatching headquarters to closely monitor the economic development situation and the production and operation conditions of enterprises in a “wartime situation” in accordance with the grading standards of the previous epidemic prevention and control headquarters, coordinate the allocation of resources in the city, and resolve and prevent risks in finance, employment, people’s livelihood and other aspects that may be brought about by the difficulties of enterprise operation. We will ensure steady and safe economic development in the face of the global pandemic.

At present, Dongguan City mainly helps enterprises cope with the crisis through four ways, including strengthening the right to speak by relying on the advantages of the supply chain, seizing the development trend to transform to high-end, adjusting the direction of production in time to meet the needs of the epidemic, and innovating marketing models to explore the domestic market.

Zhang Yuqing, deputy director of the Dongguan City Bureau of Industry and Information Technology, said that Dongguan will not relax the requirements of the quality of economic development because of the current situation, and will strictly require enterprises in environmental protection, production safety, efficiency and quality, and urge enterprises to enhance their core competitiveness to capture the “opportunity” in the “crisis”. Dongguan has the advantages of a complete industrial chain and strong economic resilience. Through a series of stable economic policies, it is necessary to help enterprises withstand pressure and tide over difficulties, and take this as an opportunity to practice internal skills, accelerate transformation, and constantly improve the status of enterprises in the global supply chain.