RMB appreciation gives the most distinct impact to the export of some labor-orientation sections, such as textile & footwear ones. The impact is as follows:
In 2006, China export value totaled 969.08billion USD, including 117.5billion USD, accounting for 12.1% of total one.
It is forecasted that 1% Yuan appreciation can result in the 3% -6% decreasing of textile section profit. For the reasonable profit, the price of exported textile will doom to rise, and then the waned export followed.
"The general profit rate of textile industry is 3% -5%. So 6% RMB appreciation can impact textile enterprises certainly."
The expert also warned that small-middle-sized enterprises will suffer more, even bankrupt finally. Besides, some low add-value sections such as footwear section also are in same corner.
