Protectionism and insufficient orders threaten China's exports

"At present, China's export enterprises are facing two major issues, the rise in global trade protectionism and difficulties in securing overseas orders," said Zhang Yansheng, director of the Institute for International Economic Research under the National Development and Reform Commission (NDRC).

With global demand currently shrinking and pressure from overcapacity clearly increasing, protectionism is inevitable. Prior to the outbreak of the global financial crisis, the various types of trade friction cases involving Chinese enterprises as a proportion of total global trade friction cases has already nearly doubled China's exports as a proportion of total global exports.

Zhang added that China should actively study and use international trade rules to emerge from the dilemma caused by protectionism. China's strategy to cope with protectionism should have a rational and proper basis and seek to return the settlement of trade frictions to a bilateral negotiation framework or a multilateral trade rule framework.

How should export enterprises deal with the tough issue of insufficient overseas orders?

Zhang noted that industry associations, chambers of commerce and investment promotion departments should be well aware of export enterprise information and help them build up international marketing channels through various means such as providing international market and product information services, and goods and international exhibition services. We can establish overseas economic and trade cooperation zones, sign free trade agreements and make overseas investment. Trade and manufacturing enterprises, and financial and scientific research institutions can jointly expand emerging trade markets by establishing a synergic relationship.