The Problem Of Excess Capacity In Minority Areas

Excess Capacity, is widely considered to be the "Repeated Construction", the"Excessive Investment" and "Excessive Competition", has been plagued with Chineseeconomy, especially the weak foundation of the economy in ethnic areas. In recent years,with the western development policy of "Dongfeng", national infrastructureconstruction obtained the huge investment and import and export trade has been rapiddevelopment in ethnic minority areas, cement, chemical and other traditional industriesand photovoltaic, wind power and other emerging industries have been a goldenopportunity for development, and formed a huge the production capacity, has broughthuge returns to investors. However, since2008, the United States sub-loan crisis, theEuropean debt crisis and other factors caused by the global economic downturn, causinga bad effect on the export of manufacturing industry in ethnic minority areas, alsomakes the ethnic problem of excess production capacity more prominent. In order tocope with the crisis, the central government adopted a series of macro-control measures,in order to suppress minority areas "investment tide" phenomenon, and the adjustmentof the industrial structure has been imbalance. Affected by the situation both at homeand abroad, over-investment in the minority areas have prompted some industriesappear difficult situation, and the industry problem of excess production capacity isrising.According to the2008second national economic census results, iron and steel,cement, plate glass, coal chemical industry, polysilicon and wind power, electrolyticaluminum, photovoltaic manufacturing, non-ferrous metal, shipbuilding, shipping,metallurgy, papermaking, printing and dyeing, chemical fiber, alcohol, leather, lead-acidbatteries and many other industries have significant excess capacity the phenomenon of.In this paper, we according to the evaluation of the standards of western countries, therate of capacity utilization to evaluate whether the excess production capacity. Usually,we will be in the79%-83%range of capacity utilization rate as the standard value, if thecapacity utilization rate is higher than95%is considered insufficient, and less than79%indicates that the excess capacity. Estimate according to the relevant departments ofstatistics, China’s2011cement building materials, coke, flat glass, wind powerequipment, polycrystalline silicon, aluminum and photovoltaic manufacturing capacity utilization rates were78%,73.79%,75%,59%,43.79%,70%,50%, was lower than79%belongs to industry overcapacity. This excess capacity caused by the ethnicminority areas in resource type industry the consequence is more serious. In view of this,how to correctly understand the excess capacity, how to prevent and control theindustrialization construction in the minority areas the problem of excess productioncapacity, is an important issue to be settled urgently relevant departments in minorityareas.This paper mainly consists of the following parts. First of all, using the method ofliterature research, to the domestic and foreign existing excess capacity theory to carryon the analysis and sorting. Secondly, starting from the analysis of the theory of excessproduction capacity, combined with China’s special market economy system, in-depthanalysis of the special formation mechanism of excess capacity in china. Once again,the excess capacity was studied in different historical periods of China’s ethnic problems,describes the characteristics and development trend of different ethnic regions of excesscapacity, and dynamic analysis of the economic development of ethnic regions ofpositive and negative effects. Next, using the empirical research method andcomparative analysis method, the present situation and causes of the ethnic minorityareas of excess capacity are analyzed. Finally, according to the actual condition ofethnic regions of excess production capacity, combined with the special formationmechanism of excess capacity in China, this paper gives the control and PreventionCountermeasures in ethnic regions in China excess capacity: one is the transformationof government functions, strengthen macro-control level, two is to adjust the industrialstructure, and resolutely eliminate backward production capacity, three is to deepen thereform of the system, strict control of new capacity, four is to strengthen the enterpriseindependent innovation, promote the upgrading of industrial technology, the five is todevelop domestic and international market, excess production capacity, transfer anddigestion.