Anti-Dumping Disturbances Difficulty in Exporting Mechanical and Electrical Enterprises

With the continuous development and growth of China's mechanical and electrical industry, some foreign trade-type electromechanical companies have gradually been in line with international standards. However, in the process of competition with foreign companies, foreign countries can not win in the normal commercial competition process, they frequently use trade remedy measures to restrict and suppress the relevant export enterprises in China, making trade friction become the “big tiger” in the way of exports of mechanical and electrical products.

On April 28, the Canadian Border Service Agency issued an announcement to conduct an anti-dumping mid-term review of carbon steel and stainless steel fasteners originating in China and Taiwan, China. The main content of the investigation was to re-determine the normal value and export prices of the products involved.

On May 4th, the Argentine official daily newspaper announced the resolution No. 148 of 2011 of the Ministry of Industry and Industry of the People's Republic of China, which decided to impose an anti-dumping tariff of 138.26% on China-produced electric heaters.

The South African International Trade Commission recently issued an announcement to make a final review of the anti-dumping sunset review of steel bolts and nuts originally produced in China and decided to continue to impose anti-dumping duties on the products involved so that the Chinese fasteners' exports to South Africa would be blocked again.

Anti-Dumping Disturbances Difficulties Export difficulties for mechanical and electrical enterprises Why do foreign companies always want to clamp down on China's exports of mechanical and electrical products? The reasons are as follows: First, after the development of China’s integration into the world, the variety and quantity of exports have increased year by year, forming a competitive relationship with some western or emerging countries. They believe that China has the suspicion of replacing its original status; the second is the various trades. After the rise of protectionism, especially after the financial crisis, various trade protection violations against the WTO have intensified.

According to the electromechanical online editors, foreign anti-dumping investigations against China have caused difficulties for the export of Chinese companies, but also seriously damaged the interests of the vast majority of downstream users and consumers in the aforementioned countries. Therefore, export-oriented electromechanical companies must actively adjust the direction of development and let the product structure go up the high-end of the industrial chain. Before entering the international market, they should make a comprehensive analysis of themselves in advance.

At present, there are more than 110,000 electromechanical export enterprises. With overcapacity, weak core competitiveness, and severe homogeneity, the company has simply liberalized its operations, resulting in excessive overuse of the main bodies, mixed results, and low-price competitive sales. Vicious competition has become the main means to open up the market. Product quality is not high, there is no independent brand, lack of core technology, after-sales service and overseas marketing network have become the most important factor restricting the export of mechanical and electrical products.

So, in front of these own inadequacies, mechanical and electrical enterprises should break through from those aspects?

The majority of electromechanical enterprises must enhance their global vision, adopt differentiated strategies, and constantly increase their bargaining power. Industrial organizations need to give full play to the role of bonds, enhance promotion, service, and integration functions, understand rules, and make good use of rules. All parties worked together to create the core competitiveness of Chinese products with both price and non-price factors.

build the brand. Low-end products and low-price competition are the main reasons why Chinese hardware companies suffer from anti-dumping. Therefore, to avoid anti-dumping, hardware companies must first improve their own quality, carry out technological upgrading, optimize products, and build brands. To sum up, the following three points must be fulfilled: First, the introduction of new technologies to improve product quality; Second, the development of new products gradually take the high-end line; Third, improve the management model to improve the utilization of raw materials.

build new business. Chinese hardware companies are facing the anti-dumping response of Europe and the United States while opening up new foreign trade markets is extremely urgent. This is because the foreign trade economy cannot get together in several places in Europe and the United States, and it must have a global perspective and open up a truly international market. If you only look at a few regions, once you encounter collective anti-dumping sanctions such as EU organizations, the losses you suffer will be enormous.