Electromechanical into export pioneer high-tech products strong

According to the latest data from Chengdu Customs, the total import and export volume of foreign trade in Sichuan reached USD 59.13 billion in 2012, a year-on-year increase of 23.9%, which is higher than the overall import and export growth rate of 6.2% in the same period. The total value of exports was as high as 38.46 billion U.S. dollars, an increase of 32.5% over the same period of the previous year, while the country’s overall export growth was 7.9% during the same period. Among them, the performance of electromechanical products is even more prominent and has become a leader in doing their best.

Mechanical and electrical products dominate the market

Analyzing the structure of the import and export industry in 2012, the proportion of industrial finished goods increased significantly, the proportion of primary products and industrial semi-manufactures decreased, and the optimization of export structure was a major highlight of foreign trade in 2012. The data released by the Customs show that in 2012 Sichuan exported 860 million U.S. dollars of primary products, a 5.9% drop; industrial semi-manufactured goods exported 5.25 billion U.S. dollars, an increase of 10.5%; and industrial manufactured goods exported 32.35 billion U.S. dollars, an increase of 38.5%.

From a specific point of view, the export of mechanical and electrical products has performed outstandingly, and the growth of the province's exports has played a very important role. In 2012, Sichuan exported a total of US$ 25.37 billion worth of mechanical and electrical products represented by portable computers, integrated circuits, etc., a rapid increase of 49.1%, driving the province’s overall foreign trade exports to grow by 28.8 percentage points, which is the main force driving Sichuan’s export growth.

In recent years, the electromechanical industry in Sichuan Province has developed rapidly. The strength of electronic information, equipment manufacturing, automotive and metallurgical industries has been continuously enhanced, and the scale has been continuously expanding. At present, it has become an important electronic information industry base in the western region. In an interview with reporters, Zou Dekang, president of Sichuan Mechanical and Electrical Machinery Association, said that in recent years, the total import and export volume of Sichuan's mechanical and electrical industry has been showing a trend of rapid growth, with about 11,000 merchants in Jinfu Road occupying a centralized operating model. About 60% of the total import and export of mechanical and electrical products.

Talking about the reasons, Zou Dekang said that first of all, the trend of industrial transfer was significant. Many of the electromechanical cities along the street of Jinfu Road were distribution companies that set up offices or distribution points in Chengdu. They were in the western region. Rich in resources, broad market potential, superior hard and soft investment environment and good transportation.

“In the past, most of the electromechanical products were self-sufficient in Sichuan, and the total import and export volume was small. However, with the continuous improvement of the hard and soft investment environment in Chengdu, many Fortune 500 companies have stationed in Chengdu or opened offices, which expands the electromechanical products. The total volume of imports and exports has played a positive role in promoting.” Zou Dekang analyzed that.

For the future, Zou Dekang optimistically predicts: “The current status of the national electromechanical industry is that the data in Guangdong, Jiangsu, and Zhejiang are declining. However, in the next five years, Sichuan’s electromechanical products will be affected by multiple factors, and imports and exports will show rapid growth. It is expected that there will be an increase of more than two digits per year."

Gradual increase in the proportion of high technology

It is worth noting that not only the entire electromechanical industry has developed rapidly, but in recent years, the export capacity of some advantageous mechanical and electrical products in Sichuan Province has also been significantly improved. In particular, with Foxconn, Intel, SMIC, and UNISON investing in factories in Sichuan, such as Intel's transfer of its production base in Shanghai to Chengdu, it has integrated most of its production capacity in factories in Guangzhou, Fuzhou and Shenzhen into Chengdu. And so on, these have all contributed to the development and export of electronic information industries such as integrated circuits and microelectronics components in Sichuan Province. Some major equipment manufacturing industries, such as large-scale generator sets, metallurgical and chemical complete sets of equipment, construction machinery, oil drilling, railway locomotives and other products, also have strong market development potential.

According to Deputy Commissioner of Chengdu Customs, Zhong Zao said that electromechanical products accounted for 66% of the total exports of manufactured goods in 2012 (58.6% in 2011), and the proportion of high-tech products was 45.5% (39.8% in 2011), respectively. The annual increase is 3.6, 7.4 and 5.7 percentage points. "Although these figures are not large, we have noticed that Sichuan's exports of industrial manufactured goods, mechanical and electrical products and hi-tech products grew by 38.5%, 49.1% and 51.3% respectively in 2012, that is, at the same time they achieved rapid growth. For example, before we exported millions of trousers to get a plane back, we also started exporting high-value goods such as power generation equipment, oil drilling rigs, integrated circuits and laptop computers. Sichuan Manufacturing is making progress in Sichuan,” said Ni Dao.