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Chinese foreign trade screen enterprises must prepare for a rainy day

Chinese foreign trade screen enterprises must prepare for a rainy day

  • 2020-08-20
  • Views:0

Chinese foreign trade screen enterprises must prepare for a rainy day

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  • Categories:NEWS
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  • 2020-08-20
  • Views:0
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First of all, foreign trade display enterprises should try their best to prepare the upstream semi-finished products or raw materials needed for production in the future for a period of time, to guard against the global outbreak of the epidemic, causing disruption of the supply chain. Foreign trade enterprises must keep abreast of the progress of the epidemic in their upstream supply chain countries. The global industrial chain under the current epidemic is already under strain, and many countries closely linked to China's industrial chain have not yet taken containment measures similar to China's. But as the number of confirmed cases continues to rise, countries such as South Korea, Japan, Italy and Iran are introducing increasingly stringent policies to fight the outbreak, which also means that the short-term impact on the global industrial chain is likely to be greater.

Secondly, foreign trade display enterprises should focus on preparing for the risk of reduced exports of finished products and increased inventories brought about by the decline in demand from major exporting countries. At this time foreign trade enterprises can turn to the domestic market. Due to the better control of the epidemic in China, the rapid recovery of enterprise production and household demand, and the substantial increase in domestic demand, foreign-trade display enterprises have shifted part of their foreign demand products to the domestic market, so as to offset the decline in foreign demand with domestic demand and minimize the impact of the sharp decline in foreign demand on enterprises.

Then, foreign trade display enterprises should strengthen the internal risk control, optimize the system, strengthen the integration and management of customer resources, improve organizational capacity. Communicate, understand and negotiate with foreign stakeholders and industry ecology. For large and medium-sized enterprises, there are a large number of widely distributed suppliers and partners, there are more complex supply chain management problems. It is necessary to strengthen communication with upstream and downstream partners of the supply chain, coordinate production, and avoid supply chain disruptions caused by information congestion, traffic disruption, insufficient personnel, raw material disruption and other reasons. Finally, from the perspective of industrial chain, foreign trade display enterprises should try their best to strengthen the multinational distribution of global production and supply chain, and hedge the production risks of single country supply chain caused by highly specialized division of labor.

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