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China Made Shoes And Clothing Goods Sold In China More Expensive Than Abroad?

2012/4/6 12:44:00 22

"Why do Chinese people go abroad to buy Chinese goods? Because it's cheaper than buying them domestically."

Liu Mingkang, former chairman of the China Banking Regulatory Commission (CBRC), once again aroused public concern when he attended the Boao forum.

It is also a product made in China, but foreign consumers can always enjoy lower prices than Chinese consumers. What drives domestic consumers to go abroad to buy goods? Why do Chinese goods sell at home more expensive than abroad?

Overseas buy back "made in China"

In recent years, with more and more people going out of the country, the consumption of Chinese consumers is increasing day by day, especially during holidays.

It is worth noting that in addition to buying luxuries that are half as cheap as 1/3 to China, there are many "made in China" products that Chinese consumers buy in foreign countries, because even some ordinary consumer goods produced in China are cheaper abroad than in China.

This is the case of foreign trade processing.

shoes

Clothing products are most obvious.

A Chinese made Levis jeans cost two hundred or three hundred yuan in the US discount stores, but the same pair of trousers will sell at least 700 yuan in domestic stores in China after they are sold to domestic outlets.

And a pair of Chinese made Nike sneakers are seven hundred or eight hundred yuan in the country, even if the sale price is reduced by four hundred or five hundred yuan, and the same style only needs thirty or forty dollars in some big stores in the United States, and the equivalent amount is two hundred or three hundred yuan.

According to the Ministry of Commerce survey, shoes, bags,

clothing

The difference between the 20 brands of high-end consumer goods such as the domestic and overseas market is 51% higher than that in the United States, 72% higher than that in France.

In response, Yao Jian, spokesman of the Ministry of Commerce, said that although the statistics may not reflect the situation accurately, at least one signal was given.

High tax and circulation costs are the main reasons.

Not only is Nike such a product that is sold by Chinese foundry, but even domestic independent brand association also has the price difference between inside and outside.

The reason, experts say, is not that companies are willing to engage in price discrimination, but that China's tax revenue is high.

Lenovo computer has no way to sell at home, but 17% of value-added tax must be added to the price, but the gross profit margin of the product is only 15%.

Sun Lijian, vice president of the school of economics, Fudan University, also said that, according to the reason, it is clearly made in China. We have increased the cost of logistics, and selling abroad should be more expensive, but now the situation is the opposite.

This is China.

tax revenue

The unreasonable system is closely related.

So, is the high tax rate a major factor? Dong Zhiyong, vice president of the school of economics, Peking University, believes that the price factors that affect commodities are multifaceted. Taxation is only one of them.

Enterprise's marketing and pricing strategy, commodity circulation cost, site rent and even exchange rate all cause different prices.

"Manufacturing enterprises in the domestic market need to bear higher trade costs than foreign markets, which results in higher domestic terminal prices" made in China ".

Yin Xiangshuo, vice president of the school of economics, Fudan University, said that although the scale of China's domestic market is huge, the economic and social development level of different regions is quite different. There are trade barriers between provinces and provinces due to local protectionism caused by tax sharing and other reasons.

Until now, the domestic market is not yet a unified big market.

This segmented market directly leads to higher market entry costs.

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Transformation of growth pattern through reform

In fact, when goods enter the circulation link, besides paying 17% of value-added tax, the high cost of domestic circulation has become an important factor in pushing up the price of commodities.

In addition, it is also closely related to the imbalance between China's previous heavy exports and light consumption. Domestic manufacturing enterprises tend to export after production, get the export tax rebate not much, rather than vigorously develop domestic consumption.

market

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Yin Xiangshuo said that the key to expanding domestic demand in the domestic consumer market is to try to reduce trade costs and create a good market environment for enterprises.

"China has a population of 1 billion 300 million, and the potential to increase real consumption is very large."

Liu Mingkang said that China's urbanization is being carried out on a large scale. We have great potential in the two or three tier cities, so we have to think about these opportunities and change the domestic trade logistics system and circulation field, because the domestic commercial circulation is not efficient enough.

"We must change the mode of economic growth, and the mode of large-scale manufacturing and large-scale export can no longer rely on it. We must draw a full stop."

Liu Mingkang believes that China needs growth, there is no profit without growth, there is no way to develop and innovate, there is no way to pform China from the world factory to the world design center.

Therefore, China must further promote reform and opening up. We need to pform the growth pattern through reform so as to achieve sustainable growth.