Thursday, April 20, 2023

Empty containers pile up like mountains at the port of Foxconn Dormitory in Zhengzhou

 2023.04.18 04:14 ET


Apple orders left China, and the Zhengzhou Foxconn employee dormitory area was sparsely populated.

Yukang New City on Lingkong Street, Zhengzhou Airport District is the supporting living area of ​​Foxconn Zhengzhou Science and Technology Park, and it is also one of the first living areas where Foxconn undertakes Foxconn employees. With the transfer of Apple's industrial chain, Foxconn's Zhengzhou factory has drastically reduced its employees, and Yukang New City has become an isolated city.

The economy in various parts of China continued to deteriorate. According to the China Business News website, the Zhenggang Xinjiao Commercial Pedestrian Street in Yukang New City is empty, with almost no people in sight, and almost all the shops on both sides are closed and closed, and some simply put out the information of lease or transfer. Recently, various rumors about Zhengzhou Foxconn have spread among the public. The reporter saw in Yukang New City that this place, which was originally the living area of ​​Foxconn employees, has indeed undergone tremendous changes.

In a video uploaded by a netizen, the producer said: "Foxconn moved away, taking away 320,000 jobs, and brought a heavy impact on Zhengzhou Xinjiao Commercial Pedestrian Street. The commercial street was once known as 'Little Hong Kong', but now However, the population is sparsely populated, the number of merchants has been greatly reduced, and some businesses have even been forced to close down. Foxconn internal employees revealed that the factory is currently moving equipment, and many workers from India are also helping to dismantle it. The company no longer recruits workers. Because most employees They are all young people with low education. After losing their jobs, they will face even greater pressure for re-employment."

Foxconn's industrial chain moves outward, the prosperity of the past is gone

In the on-site pictures, as the first batch of living areas where Foxconn employees lived, the shopkeepers in the commercial street where Yukang New City is located have also experienced glory. Feng Jian, a warehouse worker who has worked at Foxconn for almost 10 years, told China Business News that in the past, during Foxconn’s peak employment period, nearly 100,000 people lived, lived and consumed in Yukang New City. The one-kilometer-long commercial street, most of the shops are now closed.

On the morning of April 13, in the Foxconn Zhengzhou Science and Technology Park, a number of Foxconn employees told China Business News that even if it is not compared with the more than 300,000 employees at the peak, the number of Foxconn employees who are still on the job today is much smaller than last year. "The number of people now is more than half that of years ago."

It’s not just Foxconn. Yue Yuen Shoe Factory, a Taiwan-funded enterprise located in Dongguan, Guangdong, was once the largest shoe factory in the world. It has about 300,000 employees in its two major industrial parks, Gaobu and Huangjiang, but is now empty. The person in charge of a local processing factory said helplessly: "Now the United States has transferred all orders to India, Vietnam and other countries. Traditional machinery processing factories like ours are basically out of work. I have never encountered such a situation before. This situation. We started to sell the machines and quit.”

 

Left: Gaobu Yue Yuen Shoe Factory, a Taiwan-funded enterprise located in Dongguan.  Right: A factory in Dongguan, Shenzhen is facing closure due to failure to receive foreign trade orders.  (Internet photo/provided by Guting)
Left: Gaobu Yue Yuen Shoe Factory, a Taiwan-funded enterprise located in Dongguan. Right: A factory in Dongguan, Shenzhen is facing closure due to failure to receive foreign trade orders. (Internet photo/provided by Guting)

The latest customs data reflect the foreign trade situation last year

However, data released by the General Administration of Customs of China last Thursday showed that in March this year, China's total import and export value was US$542.99 billion, a year-on-year increase of 7.4% and a month-on-month increase of 32%. In the first quarter of this year, the total value of China's foreign trade imports and exports was 1.44 trillion US dollars, a year-on-year decrease of 2.9%, of which exports were 821.83 billion US dollars, a year-on-year increase of 0.5%; imports were 204.71 billion US dollars, a year-on-year decrease of 7.1%.

Mr. Li, a financial person, told this station that the import and export data released by the customs reflects the orders in the second half of last year, and the number of foreign trade orders in the first quarter of this year will not be seen until the second half of this year. However, analyzing the current economic situation, China's foreign trade is clearly on the decline. He said: "How is it possible to go back to the past? I think this society can only be overthrown and restarted. The Chinese economy has such a large size. If you go the way of North Korea, who will help you in the end? North Korea has the support that can leave the CCP and Russia today." Is it possible? The reason is very simple. China’s problem is not an economic problem, nor a social problem, but a problem of values.”

In addition, China's financial sector has also been impacted. Caixin.com reported on Monday that the 2022 annual report shows that the average salary of many listed brokerage firms has dropped by 20% compared with the previous year, and senior executives have dropped by more than 30%, including insurance companies, banks, and public funds. , the trust industry, etc., the overall salary, especially the salary of senior executives, has been reduced. Last year, 22 of the 26 brokerages saw their per capita salary drop, accounting for more than 80%. Among them, the per capita salary of CICC was 819,600 yuan, an annual decrease of 29.60%; the per capita salary of Haitong Securities was 499,800 yuan, an annual decrease of 36.29%; the per capita salary of China Merchants Securities was 472,700 yuan, an annual decrease of 39.37%.

 

Reporter: Gu Ting Editor in charge: Chen Meihua, Xu Shuting and Jiayuan Net editor: Ruizhe

https://www.rfa.org/mandarin/yataibaodao/jingmao/gt2-04182023041157.html

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