The reporter visited and learned that the entire Wenzhou shoe leather, lamps, plastic woven, buttons, clothing and other industries have shown a tendency of mass migration in the industry in recent years.

Belle Footwear has established an industrial park in the Suzhou Economic and Technological Development Zone in Anhui Province; Cornell has invested in Russia to open a trade and economic cooperation zone, which specifically accepts leather shoe companies relocated from Wenzhou. These powerful large companies have started building factories outside China.

According to the statistics of the Wenzhou Shoe Industry Association, the overall cost of Wenzhou footwear in 2010 has risen by about 20% due to rising labor costs and strained land resources. "Either it will be a transition, and it will take the high-end route. Or it will transfer the factory to lower-cost areas." Xie Yufang, secretary general of the Wenzhou Shoe Industry Association, told this reporter.

Perhaps it was the demand of a large number of private enterprises in Wenzhou. Various investment teams in the central and western regions began to throw olive branches to Wenzhou private enterprises. Zhou Dewen told this reporter that the association needs to receive more than 1,000 batches of investment teams from all over the country one year.

According to him, the price of industrial land in Wenzhou has already risen to a high of 2 million yuan/mu, while some cities in the central and western regions have introduced a “zero land price” investment policy, which has made some Wenzhou entrepreneurs eager to try.

According to statistics, Wenzhou’s total foreign investment is now over 300 billion yuan, and more than 30,000 enterprises of various types have been set up outside China, of which more than 500 million yuan have output value. There are countless commercial streets, shopping malls, and specialty stores founded by Wenzhou people.

The large number of outbound relocations in Wenzhou's traditional manufacturing industries are obviously unfavorable to the overall economic development of Wenzhou.

“Wenzhou is currently in a critical period of economic development model transformation. The industry will not accept greenery. With some carelessness, it may be possible to decline.” Zhou Dewen is quite worried about this.

He believes that the first is the serious excess production capacity of traditional light industrial products such as clothing, glasses, and leather shoes in Wenzhou, and the enterprises are basically in a homogenous competition. Some companies have only one production line running on eight lines. The cultivation and development of emerging industries will take at least four to five years. In the past few years, if there is a lack of support for emerging pillar industries, Wenzhou is likely to have a phenomenon of “industrial hollowing out”.

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