Qingmei has gave uP it's gains from the past few days in 1 swop. No resilience. Anyway, there is an article that might be of interest to forummers here.
news.ctei.gov.cn/295655.htm
Fujian has release a finding that in the jinjiang area(where qingmei major customers are located) the export market for the first five months have shown that while export numbers for shoes in the area has increase only moderately, the value of exports has increase significantly more, shoes manufacturers Are turning to mid- to higher end shoes to survive. Qingmei serve the mid to higher end tier of shoes manufacturers, so that seems like a good news to me. Shoes manufacturers are trying to move from just producing sports shoes to outdoor mountaineering shoes, is trying to improve on design but modify and adding leather to their shoes. Not sure how this will impact qingmei, but it doesn't seems to me to be a negative development. This seems to be the trend in the shoes industry, there is another article on leather shoes produced by Wenzhou manufacturers ( further north of Fujian ) this is seeing at boom in export of leather shoes after European let the anti- dumping taxes on leather shoes expire. Whether how qingmei is coping with all these, hope to ask them when their AGM comes.
Was waiting very impatiently for QINGMEI full year results when I come across the article.
news.ctei.gov.cn/301171.htm
Seems like QIngmei is not giving hot air when they says they are ramping up production in anticpation of strong demand.
Qingmei HQ, Jinjiang, a "underdeveloped" city compared to the tier1 cities of CHina is actually home to 3016 shoes production companies and acounts for 40% of the domestic market of china with production value of more than 50 billion RMBin 2010.
There are a few dozens of companies with annual prodution of more than 1 billion shoes and countless companies that produce more than 10 million annually.
Seems like Qingmei has no lack of business opportunties.
Anyone knows when QIngmei will announce its results???? It has until end of this month to do so.
4Q will be a very critical quarter, as it will show how strong demand actually is by looking at the utilisation rate.
More good news. Qingmei's substantial customer- k bird, 贵人é¸,is reporting brisk order book growth from it's 2012 spring summer trade fair. It's order book growth is both in prices and quantity and the no. retailer shops have expanded too.
news.ctei.gov.cn/301593.htm
Eratat and qingmei is well positioned to weathered this crsis, and if double dip recession is avoided, we could be seeming substantial rebound from current ridiculously low prices. China consumer sector seems to be strong amid the current storm
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