A robot on display at the China Processing Trade Products Fair, which opened in Dongguan, Guangdong province, on Wednesday. (Photo/China Daily)
According to Dongguan's commerce authority, the number of self-owned brands developed by processing trade companies has tripled from 2,308 in 2008 to 9,111 in 2014.
Moreover, more companies have developed strengths in technology research and development. There are currently 1,750 processing trade companies which have developed their self-owned brands.
According to officials, processing trade companies have also developed e-commerce channels to tap the domestic market in recent years. E-commerce has helped local processing trade companies to expand sales in the domestic market, with domestic sales accounting for 36 percent of the total sales for these companies last year.
Wu Huizhen, manager of the e-commerce department at Ba-Ba Chidlren's Articles Co Ltd, said the company plans to shut a large number of physical stores this year.
"Instead, we will make more efforts to expand online sales, which has proved effective and efficient in the fast-changing market," said Wu.
The company, based in Liaobu township of Dongguan, has opened online stores on its website and other major e-commerce platforms such as JD.com, Taobao.com and Tmall.com.
The company was mainly engaged in original equipment manufacturing of children's shoes in the 1990s, which accounted for more than 60 percent of its total business.
"We have upgraded business by introducing self-owned shoes, which are installed with intelligent chips to track the user's location," Wu said.
The company's newly launched shoes became hot items at the ongoing fair in Dongguan.
The annual event has attracted more than 800 domestic processing trade companies, with participation of more than 6,000 domestic and international buyers, according to the organizers.
Overseas buyers have also shown interest in placing orders with Chinese suppliers. French retail giant Carrefour Group signed six purchase agreements worth of 143 million yuan on Thursday.
Products, which ranged from fresh food, oil and grain, nutritional products, food and beverage to home textiles, will be distributed to about 30 stores of Carrefour in South China, according to the company.
