As the domestic epidemic has stabilized, most companies have resumed work, but the foreign trade industry has not been able to usher in the dawn of recovery like other industries.
As countries have closed customs one after another, berthing operations at maritime ports have been blocked, and the previously busy customs warehouses in many countries have been left in the cold for a while. Container ship pilots, customs inspectors, logistics personnel, truck drivers and warehouse night watchmen…most of them are “resting”.
Studies have pointed out that 27% of the decline in U.S. demand and 18% of the decline in EU demand are borne by foreign producers. The declining demand of developed countries is causing ripples in emerging countries, especially China, Southeast Asia, and Mexico, along the trade routes. As the forecast of a sharp drop in global GDP this year emerges, there is almost no way to maintain the US$25 trillion worth of goods and services in the past to continue to flow around the world.
Nowadays, factories in Europe, North America, and Asia outside of China have to deal with not only the instability of parts supply, but also the sickness of workers, as well as the endless local and national shutdowns. And downstream trading companies are also facing huge uncertainty. Orchard International, headquartered in Canada, is engaged in international trade in products such as mascara and bath sponges. Employee Audrey Ross said that sales planning has become a nightmare: important customers in Germany have closed stores; warehouses in the United States have shortened business hours. In their view, in the beginning, it seemed a wise strategy to diversify the business from China, but now there is no place in the world that is safe.
Foreign production is still constrained by the new crown pneumonia epidemic. China has a stable industrial chain and supply chain that can seize the opportunity. At the same time, the gradual recovery of the economy in some countries has continued to release external demand.
TouchDisplays is located in the southwestern part of China, and the epidemic situation is much better than that of the central and coastal areas. When a large number of manufacturers in the world are forced to reduce or stop production due to the epidemic, we can guarantee stable and high-quality production and delivery of products. At the same time, we will effectively implement the epidemic prevention measures to minimize the impact of the epidemic on production. Although we are unable to participate in international exhibitions to showcase our own products due to the epidemic, we are currently establishing a new way of interaction through live broadcasts on Ali. Through the live broadcast on Alibaba International Station, we can better show our customers our POS Terminal products and related all-in-one products. We hope that this kind of live broadcast format, which can enrich overseas channels and link fast, can better showcase our products and our culture.