The value of exports orders from China’s largest trade fair, the China Import and Export Fair or Canton Fair, recorded their lowest value in four years, state media reported. The fair, which began in 1957 and takes place twice a year, saw a 10.9 percent drop in total value of orders from last year down to $31.7 billion.
The biggest decrease in orders came from the Middle East (-15.5%) and Europe (-8.3%). Total attendance dropped 6.5 percent. The good news came from the U.S. and Japan where orders rose 11.8 and 42.8 percent respectively.
Realizing competition from emerging markets has finally matured, Chinese officials are incentivizing companies to pursue innovation in design and technology and move away from labor intensive production where it is now difficult for China to compete with low wages.
To motivate investment in product innovation and brand development, fair organizers introduced design awards for exhibitors and created special zones for advanced brands to exhibit. Many Chinese companies are also opening research and design facilities overseas to capture international design talent and sell to local markets.
This presents an opportunity for branding, design and engineering service companies to sell their services to Chinese companies looking to innovate both their brand and product offerings. One prominent exhibition for showcasing services is the China Beijing International Fair for Trade in Services in late May.
Mercatura Global works closely with the local and national government in Beijing and is offering special rates for the 2014 show. Contact us today for more information.