Dongguan, the south China city whose factories alone outpace those of Vietnam in exports, has recorded a 10 per cent decline in employment since the onset of the global economic downturn, its mayor said yesterday.
The city, about 90km north of Hong Kong, was hit by a fall in exports of 24 per cent over the first six months of 2009 compared with the previous year's first half as consumers cut their spending. As a result, gross domestic product grew 0.6 per cent in the first half, compared with the national figure of 7.1 per cent and a 30-year average in Dongguan of 18 per cent.
“Manufacturing is Dongguan's pillar industry,” Li Yuquan said. “The global financial crisis has had a strong impact on Dongguan.” Mr Li said registered employment had fallen to 5.7m, an implied loss of 630,000 jobs.