(Daegu Gyeongbuk Daily News=Reporter Hwang Ji-hyun) The Gumi Chamber of Commerce and Industry (Chairman: Yoon Jae-ho) conducted a survey on the ‘impact on Gumi businesses after China reopens*’ targeting 102 manufacturers in the region from February 22nd to March 3rd, carried out an investigation.
* The re-opening of China refers to the resumption of economic activity in China After China abolished its high-intensity quarantine policy of ‘Zero Corona’ at the end of last year due to an increase in the vaccination rate for Corona 19 and the development and distribution of treatments, the an opening.
In response to the question of what effect China’s reopening will have on the Korean economy, 102 companies that responded answered that it was generally helpful, with 47.0%, although there were side effects. 33.0% had no effect, 9.0% had great help, 6.0% had very great side effects, and 5.0% had more than helpful side effects.
Also, to the question what kind of impact do you expect the reopening of China to have on your company’s business performance, such as sales and profits, 63.3% of respondents answered that there would be no impact, followed by 29.6% of a positive impact and 7.1 negative impact As a percentage, most companies anticipated that there would be no significant impact.
48.3% of the companies that responded said that there would be positive effects in the above question, the increase in the export volume to China was the most expected part, namely 37.9% of the stabilization of the supply chain by acquiring parts and materials from China, and 6.9% from the normalization of operations of Chinese companies. , easing logistics disruption by 6.9%.
On the other hand, for companies that responded that there would be no significant impact or that there would be a negative impact, ‘the impact of increasing exports to China would not be significant’ (44.3%) as the biggest reason, and ‘acting as a factor in raising raw material and energy prices’ was the most common reason for this, at 40.0%. , the possibility of re-proliferation of corona in China was 4.3%, and others were 11.4%.
As the global business environment changes after COVID-19, 72.4% of respondents answered that they plan to maintain the current level, while 14.3% plan to continue to gradually increase and decrease to the question what plans your company’s future business in China. At 13.3%, there appears to be no significant change.
On the other hand, to the question of what tasks are needed to take advantage of China’s re-opening as an opportunity for Korean companies, 45.5% answered that ‘improving Korea-China relations for stable economic activities’ was the most necessary, followed by by the United States-China resolving uncertainties such as conflicts accounted for 33.8%, active marketing 20.8%, resolving difficulties of Korean companies entering China 11.7%, and easing technical barriers to trade (TBT) 9.1%.
Gumi Chamber of Commerce Economic Research Team Manager Shim Gyu-gyu / Corporate Attraction Team Manager held an exchange meeting this month by inviting the presidents of the Chinese Chamber of Commerce in Korea, and sending an MWC observer in March and sharing information, etc., and will expand this further.
