2010 Dongguan Toy Industry

For the Dongguan manufacturing industry, the stormsare rising. However, orders began to gradually picked
of 2009 is over. The decline in exports significantlyup, or last year, are really "not survive the coming." Is
affect the Dongguan GDP. Both the toy industry,now to find a way to retain and attract experienced
electronic industry, furniture industry, or apparelworkers, we should further explore new markets.
manufacturing, we heard a voice the most is: "toIn 2009, domestic enterprises have become the
survive on the already very bad." However, there arecommon goal of the toy industry, but brands have
also many of the adverse economic rosy, such assuch an opportunity, those foreign brands produced
clothing Industry certain brands to become theby foreign companies is still only highly anticipated
biggest winner in the domestic market.orders. Industry sources said that its own brand toys
Sold in China, Dongguan manufacturing the mostDongguan very little is currently playing all over no
popular topics, but also forced a choice. However,more than five operators.
some people are successful, such as plain clothes,Pig ban had been developed, Dongguan and other
such as Kazakhstan and generation of toys. But morelocal brands history confirms one thing: the brand
than that was a kind of wait and see strategy fortakes time to cultivate, the process has a very long
preservation business, but now the advent of 2010,time period may be no return on investment, so
quietly, the manufacturing sector came in the springneed the money.
whether to follow?This year early in October, Dongguan City, Toy
Planning / Chen, PAN Qing-YiAssociation organized 30 enterprises to participate in
Text / Reporter Zhaobi Ying, Chen Ming-map /a few toys Dongguan, Shanghai Toy Fair. Popular
journalist Shi Lovemerchants from the field of view, Dongguan toy
Early last year, the toy giant, "co-Jun" completebooths are very popular. Many business
collapse as a symbol, Dongguan toy industry but torepresentatives demonstrated a strong willingness to
the sharp winter. Industry sources said a full year,cooperate. Can be seen that large domestic demand.
largely dependent on the export of toys into theNegative: to reduce and credibility of the decline in
most painful year in an industry - from the winter ofexternal demand
2008 to the summer of 2009, the entire YouLast year, the biggest weakness of Dongguan toy
Sancheng toy factory in Dongguan, about closingindustry, the reporter learned from several banks,
down or closed down.the financial crisis had led to bank loans are very
Inventory in 2009, Dongguan toy exports from thecautious, and their loans for the toy companies is
winter of 2008 all the way down to the summer ofvery little reason for the toy industry last year, the
2009 to the freezing point, and then drop all the wayrisk of is too high.
narrow and has appeared optimistic about theHuangpu Customs and Excise Department official
situation - third quarter of last year, over the samepointed out that exports of Dongguan toy to face
period the previous year is expected to drop 10the following difficulties. The first is the financial crisis
percentage points. The most severe cold period iscaused by shrinking external demand. In 2008 the
over, "survive" will usher in a sunny 2010. However,international financial crisis, Europe and the United
experts believe that independent research andStates and other developed economies are in
development suited to China's own price system, andrecession, the rapid reduction in external demand. The
cultural characteristics of toys and toys with hightoy as a typical bear the brunt of the non-necessities
added value is the last resort.of life, order up a drop of 1 / 3 to 1 / 2.
Kazakhstan generation: a model for low BoshaFollowed by recall of events frequently, so that
"Ha generation" toys Dongguan, one of the fewdamage to the credibility of Chinese toys, toys
independent brands, at present, the general managerDongguan, the demand for adverse effects.
Xiao Senlin are puffed up with pride to plan aIn addition, the export enterprises will be faced with
white-collar Zhenghun Dongguan, friends andthe impact of exchange rate changes, because the
community projects. As the exclusive corporatepurchaser will pay over a certain time span, shipping
sponsors, Xiao Senlin frankly, is a generation in orderand the actual receipt of payment at different times,
to increase the visibility of Kazakhstan.resulting in different exchange rates before and after
Xiao Senlin said, everyone knows Dongguan toythe exchange risks brought about, resulting in cost
industry, toy industry in China as a whole accountedpressures.
for half or more, but who knows a few brands inAt the same time, India, Vietnam and other
Dongguan?competitors in the export currencies have
Early last year, orders plummeted, specializes indepreciated, and its domestic consolidated to create
manufacturing plush toys products, Xiao Senlina cheaper, China's toy market is suffering from
watched the whole factory a few hundred workers,low-cost squeeze, toys and corporate profits have
anxious heart abnormalities. "At that time the toybeen further reduced, capital strength and relatively
industry in Dongguan, about 3,000 more thanweak SME managers even more difficult.
business. Less than three months, leaving more thanOutlook 2010
2,000 until last summer, became somewhat stabilizedA new approach: the development of adult toys,
footing." Xiao Senlin that, especially early last year,high-tech toys
together with the generation, including Kazakhstan,Dongguan Toy Industry Association, the
Dongguan toy companies are basically to get anySecretary-General Chenxiang You believe that the
decent orders, layoffs, pay cuts, cost-cuttingcurrent Dongguan toy industry there is a clear trend
approach popular at the time, so many workersis that domestic growth, a large number of
protect their rights occurred one after another.production shifts to the internal market.
In Dongguan, OEM processing production accountedOn the export side, Chenxiang You believe that
for 99% of the toy industry, a number ofenterprises should strengthen their regulations and
manufacturers, has its own brand, according tostandards of international toys information,
industry sources is not more than five, includingunderstanding, and timely collection and study of
Kazakhstan generation, Yi-min, pig, etc. Banner.foreign technical regulations and improve the
Its own brand marketing, the biggest difficulty is toenterprise's own response capacity; In addition, it
establish a pipeline, time-consuming and laborious toshould actively develop overseas markets and
say the least cost of consumption of amazing. This issegments, to reduce Europe and the United States
the Dongguan Many of his counterparts do not wantsuch as dependence on traditional markets.
to go its own brand reasons. "OEM is relatively easier,And the Dongguan Institute of Technology,
as long as orders for foreign brands to find on theDepartment of Economics Professor Li Chuanzhi said
list."that Dongguan toy industry in exports should be "to
Xiao Senlin at that time thought of taking afind some new ways", for example, opening up the
conservative strategy, but was later persuaded himinternational emerging markets, Europe and the
to some customers than a last-ditch, and take theUnited States market for our past children's toys,
domestic market, since Kazakhstan had already beenadult toys should be further developed, high -
a generation has its own brands and patents, but noscientific and technological content of electric toys,
good use.puzzle toys. He said that the U.S. and European
As a result, Kazakhstan has one generation tomarkets account for adult toys in fact is a big
engage in domestic orders will be agents. "Southmarket share, the Japanese toy adult toy market in
China, southwest, northwest and northeast of theJapan alone accounts for 70%, so it's development.
merchants have come to illustrate the domesticIn addition, it should also open up some hi-tech toys.
market there is a lot of space." Xiao Senlin be greatlyDongguan-owned enterprises reflects a lack of
encouraged to develop immediate measures for theintellectual property protection affect the speed of
domestic market.development and growth of enterprises, the
He did not expect that just such a move,Government should study the appropriate protection
Kazakhstan generation in a number of toyof intellectual property of toys, so that businesses
companies, laid the domestic market in 2009 as acan feel at ease research and development of toy
benchmark position.products with high added value.
Kazakhstan generation of today's market share,In addition to open the domestic market, enterprises
nearly flat at home and abroad, it is very scientificshould also be from the "manufacturing" to "create"
proportion of the risk to a minimum. Kazakhstanthe development of a number of local brands. The
generation, person in charge said, the next will be Rfinancing, Xiao Senlin expressed the hope that the
& D high-tech toys for different ages, so as toGovernment can give toys corporate finance some
maintain the unbeaten run of the body.support.
Face 2009Inventory in 2009, Dongguan Toy Industry
Positive: Dongguan toy domestic "first year"According to Huangpu Customs statistics, in October
Yi-min toy factory in Dongguan City, the official told2008 to September 2009, Dongguan toy exports
reporters that since last year, toy factory labor costsamounted to 1.27 billion.
rose by 15%, a number of metal raw material prices