china electronic video industry association deputy secretary-general haoya bin from the second half of 2008, the international financial crisis on china's export-oriented industries has had an impact . china's industry through reform and opening up 30 years of development, has become the world's largest production base and exporting countries, which tv , refrigerators, washing machines, mobile phones these four categories of products production rank first in the world, while the export volume is very large. however appliances industry, exports and profits in 2008 year on year in 2007 have suffered different degrees of decline. due to the international financial crisis and the impact of cyclical changes industry through export-led economic and employment expansion is not feasible, therefore, the only real solution to try to expand domestic demand, china's economic growth. in order to cope with the international financial crisis, the state council issued a series of policies to stimulate domestic demand to ensure that employment and promoting development, where " bringing , "the policy stimulus is quite clear, it can be said both for consumer appliances to the countryside, stimulate economic growth while promoting economic growth pattern. to the countryside right moment appliances to rural areas is the expansion of domestic demand, promote the development of an effective way. on the one hand, household appliances, essential commodities of life, high output value, profits and taxes impressive, its stimulating economic growth plays a very important role. on the other hand, household appliances can also bring in the chain common development of enterprises. household appliances export industry is the largest, and in the international financial crisis, the shocks are also high. the rural consumer market in china has great potential to promote a new socialist countryside construction as the to the countryside to provide a good opportunity, to the cou ntryside also promote a new rural construction. appliances to rural areas is an inevitable reality of choice. first, the relatively low penetration rate of household appliances in rural areas, market potential, the rural areas refrigerator , low penetration of washing machines, tv's highest penetration rate reached 94%. according to our calculations, the appliance penetration in rural areas increased by 1 percentage point each, will bring 1.9 million needs, we expect 2020 rural washing machine, refrigerator, color tv 3 categories of products annual sales will reach 8 million units - 12 million units. second, the income of rural residents continued to grow, growing purchasing power. third, the appliances to the countryside brought not only to farmers with subsidies of , but also to meet the needs of farmers on the cultural life of both information technology to rural areas, but also culture to the countryside. to the countryside have a good foundation. first, there is marketa ble products to color tv, for example, products containing the functions meet the needs of the rural market; second, supply and marketing convergence, enterprises in rural areas have basically been completed sell service network; third policy effectively, through financial means of subsidies to farmers, continue to simplify and optimize the number of procedures to support the farmers to purchase household appliances. ministry of industry and information technology to enhance product quality, product performance is very reliable and very cost-effective after-sales service are the basic guarantee. smoothly appliances to the countryside started a pilot from to the countryside in april this year, winning the national promotion of to the countryside of the number of enterprises has reached 479, the successful model 6835, from the first color tv, refrigerator, phone three categories of products beginning with the development to cover 13 categories of major and minor products. in 4 79 successful companies, are more successful models are haier, midea, tcl , konka, galanz, among which 342 haier products won the bid, topping the list. countryside activities in , large appliances lead the market, refrigerator, color tv, air conditioning most popular, as of october 31, sales of to the countryside has already reached 27.88 million units, sales reached 58.8 billion yuan, of which the largest sales of refrigerators. activities in the first half of to the countryside to the whole country, precisely because the traditional peak season refrigerator, color tv and the growth in the second half faster. you can see, refrigerator, color tv, air-conditioning, washing machines and other large sales ratio has reached 91.3%. activities in the to the countryside, leading enterprise with outstanding performance, top 10 companies sold more than qi cheng. sales area and began a very focused, but the concentration decreased rapidly. as of september, henan, shandong, sichuan, t hree provinces accounting for 30% of sales in to the countryside, while the beginning of these three provinces accounted for more than 60%. rapid growth in sales of to the countryside, share comparable states united states and suning sum. currently, to the countryside getting better, a huge urban and rural space, we believe that the future in the rural markets will be 70% -80% of the product is bringing home appliances products.
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