Jiaxing Enhances Export of Fasteners to BRIC Countries

In the first half of 2010, the total import and export of fastener products in Jiaxing, Zhejiang Province was US$ 352.77 million, which was an increase of 34.1% year-on-year. Among them, 34.209 million US dollars were exported, up 50.9% year-on-year; exports accounted for 4.7% of the city's total exports, which accounted for a 0.5 percentage point increase over the same period of last year.

Industry experts believe that the main features of the fastener exports in Jiaxing in the first half of the year are:

Exports are still dominated by European and American markets, and exports to the BRIC countries have shown strong growth. In the first half of the year, Jiaxing fastener export to Europe and the United States market reached US$137.96 million, accounting for 40.3% of total exports. Among them, 49.98 million US dollars were exported to the European Union, up 69.4% year-on-year, and 61.98 million US dollars were exported to the United States, up 2.18% year-on-year. In the first half of the year, fasteners in Jiaxing showed strong growth in exports from Russia, Brazil, and the three major BRIC countries. Among them, 35.07 million US dollars were exported to Russia, an increase of 252.78% year-on-year; exports to Brazil were US$ 13.58 million, an increase of 258.48% year-on-year; exports to India were US$ 7.98 million, an increase of 169.38% year-on-year.

Exports are mainly made of steel fasteners, and general trade still dominates the export trade. In the first half of the year, the export value of steel fasteners in Jiaxing reached US$34.021 million, an increase of 50.6% year-on-year, and exports accounted for 99.5% of the total fastener exports. Exports of fasteners to the general trade amounted to US$322.96 million, an increase of 51.7% year-on-year, and exports accounted for 94.4% of the total fastener exports of the city.

The export volume of fasteners has increased and decreased. In the first half of the year, Jiaxing exported 303,551 tons of fasteners, with an export value of 34.209 million US dollars and an average unit price of 1126.9 US dollars/ton, which was a drop of 2 percentage points from 1151.1 US dollars/ton in the same period of last year.

Factors favoring the export of fasteners in Jiaxing include: the global economy continues to pick up, and the export of fasteners has rebounded. Last year, the low export base laid the foundation for the rapid growth this year; the BRIC countries have complementary trade advantages and strong growth; raw materials The price reduction will reduce the cost of the company.

The report predicts that by 2014, sales of fasteners in the Asia-Pacific region will show the strongest growth momentum. The demand for fasteners in China will grow at a rate of 12.8% per year, ranking first in the Asia-Pacific region. In 2009, China’s production of motor vehicles surpassed Japan, becoming the world's largest motor vehicle manufacturing country, bringing business opportunities to China’s domestic industrial fastener manufacturers. The report also predicts that by 2014, the growth of fastener production in China will exceed the growth in demand. In 2009, fastener manufacturers in the United States created more value in fastener manufacturing than in the past, but by 2014 China will easily exceed the United States and become the world's largest fastener manufacturer.

Foreign-funded enterprises will continue to set up factories in China to better utilize China's advantages in low production costs. In addition, the production of high-end fasteners in the United States, Japan, Western Europe and other developed countries and regions will continue to maintain its leading position. However, with the growth of China's economy and the continuous enrichment of manufacturing experience, the technological gap between China and these developed countries will be further reduced.

Judging from past developments, the demand for industrial fasteners in developed regions such as the United States, Western Europe, and Japan has slowed compared with developing countries. However, before 2014, this situation did not all occur in developed regions in the world, because the demand for industrial fasteners rebounded after many durable goods manufacturing (especially motor vehicles) suffered setbacks and plummeted in 2008-2009. With the strong recovery of the motor vehicle industry and the rapid growth of durable goods manufacturing, the demand for fasteners in these areas will also increase.