Several reasons for the recent downturn in international trade to seek help from the gods

1, from the external point of view, the world's developed economies slowed down leading to a decline in external demand. Affected by the U.S. subprime mortgage crisis, the U.S. economic growth slowed down, triggering turmoil in the international financial markets, spreading to Europe and other countries, thus affecting the economic fundamentals. The world economy is in the doldrums, and external demand has decreased. 2. From the domestic point of view, a number of policy adjustments have led to rising production costs for export enterprises. In 2007, due to the rising prices of land, labor, energy and natural resources, and the country's environmental protection, labor protection, production safety and product quality and other administrative and legal requirements to improve the production costs of export enterprises rose significantly. 3, the appreciation of the renminbi on the county's foreign exports caused a certain impact. Exchange rate reform for more than two years, the RMB against the U.S. dollar accumulated appreciation of 14.3%. According to the Bank for International Settlements calculations, the real effective exchange rate of the yuan has appreciated by 8.6%. The Fed's significant interest rate cuts and the dollar's further weakness, will make the yuan appreciation there is some space. Renminbi exchange rate continued to appreciate, one is to the export enterprises caused by the larger exchange losses. 4, the rise of foreign trade protectionism, limiting China's foreign exports. The world economic crisis, so that foreign trade protectionism against China rose, restricting China's foreign exports, many countries set up trade barriers to limit or prohibit the import of certain products in China In addition, some foreign media on the quality of China's products and negative reports on food safety issues, induced the foreign public, they are particularly Chinese products, Chinese food, a big boycott. 5, the price of raw materials, rising wages of workers, labor costs