Pain is impassable, and the general is not painful.
If one is connected to production and one is connected to consumption, the logistics industry, which is praised as an accelerator for economic development, will not only be "painful" but simple. If it fails, it will lead to "deterrence" in the whole body.
Recently, KPMGâ€™s latest report stated that Chinaâ€™s transportation costs account for 18% of Chinaâ€™s GDP, which is 10% higher than that of developed countries. For manufacturers, logistics costs can be as high as 30%-40% of production costs.
At the same time, the current status of high logistics costs in China has not changed, and the total logistics cost of the whole society is still growing substantially. According to statistics from the National Development and Reform Commission, from January to October this year, the total social logistics costs totaled 6.4 trillion yuan, a year-on-year increase of 18.7%.
As a result, the butterfly effect caused by the high logistics costs is constantly emerging. The high cost of logistics not only makes the sustainable development of the logistics economy severely restricted, but also extends to other areas of economic development.
What are the adverse effects of high logistics costs on the Chinese economy?
â€œFrom the point of view of the operation of the social economy, logistics can be simply understood as a transit route for the manufacturing and sales industries. The cost level directly determines the demand of the downstream market. If the logistics cost is too high, it will produce at least three levels of defects. Influence.â€ Gao Boxuan, a senior researcher at CIC Advisors, said in an interview with a reporter from the â€œChina Sankei Shimbunâ€.
Gao Boxuan believes that, first, from the perspective of supply and demand, if the logistics cost is too high, then the demand will be compressed by high costs, hindering the rapid development of the real economy; Second, from the point of view of the profit rate of each link, high-cost logistics links Forcing the transport market to make concessions in terms of profitability will not be conducive to improving the distribution of the logistics industry in China. Third, in a vicious economic environment, excessive logistics costs will be detrimental to the transmission of economic policies, especially in the aspect of inflation control. The market is more sensitive to logistics costs and inflation governance is easy to repeat.
It is undeniable that the rise in rigid costs such as rising oil prices, rising labor costs, upgrading of equipment for logistics companies, and increased management costs are important reasons for rising logistics costs. However, judging from the actual situation in recent years, the reasons leading to high logistics costs are obviously far more than these.
â€œMore important is the influence of administrative factors and policy factors.â€ Gao Boxuan said that from an administrative point of view, due to the unique mode of transportation construction in China, local governments have been charging long-term tolls on road tolls in order to ensure fiscal stability. The logistics costs; From the economic policy level, due to taxation, lack of financial expenditure and other reasons, the logistics industry is forcibly separated, resulting in increased business links, adding additional cost pressures.
It is worth noting that high taxes and fees for logistics and transport have been widely criticized. For trucking companies, tolls can account for one-third of the total cost, which is about twice as high as that of developed countries. In addition, transport companies are required to pay a 3% sales tax, and warehousing and freight forwarding companies are required to pay a 5% business tax.
â€œFrom the point of view of industry development in the logistics industry, the increase in pressure on transportation costs will lead to increased pressure on business operations, leading to the development of industry difficulties. From the perspective of subdivided costs, road pricing and duplicate taxation have become the largest source of pressure for the logistics industry, although At present, the direction of the next policy reform has also been clarified, but if it fails to make policy reforms in a timely manner, the cost reduction of the logistics industry will become a political issue.â€ Gao Boxuan said.
So, how can we reduce logistics costs? Gao Boxuan suggested that tax reform and financial support can be carried out: On the one hand, structural tax cuts will necessarily divide the logistics industry into account. Reforming the tax system will effectively reduce the overall cost of the logistics industry in China; on the other hand, in the initiative to reduce logistics costs, The road tolls have been affected by the interests of local governments and some of the contractual performance agreements, starting from the financial support to complete, so as to achieve a substantial reduction in logistics costs.
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