Export business better beyond imagination in the Yangtze River Delta and Pearl River Delta

The relevant survey found that export business in the first half was better beyond imagination in the Yangtze River Delta and Pearl River Delta where exporters are concentrated. "Christmas orders" have promoted foreign trade situation again by the end of August, now orders are basically stable and returns back to pre-crisis level in 2008.

The survey found that many exporters have increased bargaining power and transformed rising costs onto overseas customers by taking advantage of increased orders. Meanwhile a group of exporters with scale and technological advantages resolve the risks of currency fluctuation and rising costs by increasing profits through upgrading product value.

Exports in these areas are clearly better than expected. However, experts advise that the better-than-expected growth faces decline risk in later time; export decline may emerge in the fourth quarter or the first quarter next year. External environment of exports may continue to deteriorate in the future; other risks cannot be ignored such as increased internal pressure of wage rise and fluctuation of RMB exchange rate.

Chinese exporters do not face a bright future; they should look out some potential risks. Most analysts agree that the better-than-expected growth in exports faces slowdown in the future; export decline may emerge in the fourth quarter or the first quarter next year.

Meanwhile, China's exports also face increased risk of trade protectionism. China has been the biggest victim of global anti-dumping cases for 15 consecutive years since 1995.

China's GDP accounted for 8 percent of world’s GDP last year, accounted for 9.6 percent of world’s exports, but China received about 40 percent of anti-dumping cases in the world, 75 percent of anti-subsidy cases in the world. From January to May this year, 14 countries (regions) initiated 31 trade remedy investigations on Chinese products, total cases involved about US $1.8 billion.