Long Yongtu: Giving Up Labor-Intensive Manufacturing Industry Will Be A Historical Mistake.

In promoting industrial upgrading and reversing trade imbalance. policy Under the demand, the traditional manufacturing industry, which once created the myth of Chinese economy, is now in an awkward position. Many pressures such as "shortage of people" and "shortage of money" have left many enterprises unsustainable. As China's most powerful "advocate", Long Yongtu said recently that China should not be ashamed of being called the world factory. "If we really give up manufacturing industry It will be a historic mistake, including labor intensive manufacturing. "

　 American reflection is worth learning from.

Long Yongtu, who was once the chief negotiator of China's accession to the WTO, published his views on the ten year forum on China's accession to the WTO held by the China Electrical Appliances Association and the Southern Newspaper Media Group. He said that after the collapse of the Internet bubble and the global financial crisis in 2008, the US government reconsidered and decided to revive the manufacturing industry, which is an important conclusion for us and global economic policymakers.

"Manufacturing industry is China" Economics Development has won the first pot of gold, creating a large number of employment opportunities, so that China's urbanization process can be carried out. Will China have to go a long way to become a developed country like the United States? Will it give up manufacturing now? "

　 Competitive advantage will not change in the short term.

Long Yongtu said that China's development of manufacturing industry is determined by China's national conditions. In the current financial crisis, China's foreign trade exports had dropped sharply, but a few months later, it was the appliance industry, clothing industry, shoes and other labor-intensive industries supporting the recovery of China's exports. The whole manufacturing industry, especially the labor-intensive manufacturing industry, is the strength of China's economy in international competition. This trend will not change in a long time. On the other hand, the contribution of Chinese manufacturing industry to the whole economy not only lies in creating wealth, but also in creating job opportunities, so as to maintain stable development in China. "A company in the United States has created about 200000 job opportunities, indirectly created about 500000 job opportunities, and Suning has created about 100000 job opportunities. These are incredible achievements."

　 Appealing to the policy of large employment

Long Yongtu appealed that the government should consider giving labour manufacturing industry a tilt in tax policy. "In the past, we should talk about big profits, and now we should advocate big employment. We should give some tax exemption indicators to enterprises with more employment. If the government policy does not give these enterprises more and more expensive and more and more pressure, it is bound to cause many manufacturers to lose their manufacturing industry, because they can not stick to their morality or love for the manufacturing industry, and profits are still a very big temptation. Long Yongtu said that the necessary policy adjustments in this regard should be mentioned on the agenda, otherwise it may repeat the mistakes of the US financial crisis.

After the financial crisis, Chinese traditional manufacturing enterprises did not have easy days. Since the beginning of this year, manufacturing enterprises have been heavily burdens due to limited electricity consumption, insufficient employment, difficult bank loans, and rising cost of raw materials. Media reports indicate that some small and medium sized enterprises that are short of funds are borrowing money from underground banks at an annual rate of 60%. Enterprises with a little strength have already turned to industries with higher profits or financial investments. American, Haier, YOUNGOR, SUPOR, Galanz, AOKANG and other manufacturing enterprises have become an important part of their real estate projects.