Optimism springs back at Canton Fair after difficult year for China’s largest trade expo
Traders say they used the downturn to focus on improving their products and now the investment is paying off
Traders gathered at the spring Canton Fair in southern China were mostly upbeat over business prospects heading into the summer, saying their investments in product research and development over the past year were paying off.
The fair, held twice a year, is the largest trade expo in China and is seen as gauging demand for overseas sales.
Last spring, transaction volumes fell 9.6 per cent year on year, to 172 billion yuan (HK$205.8 billion) and 171 billion yuan in the autumn, down 7.4 per cent over a year earlier.
But a stabilising currency and low oil prices had improved sentiment despite slowing economic growth. Exports rose by 11.5 per cent in March against a year earlier after falling for the previous eight months.
From solar panels to ceramic tiles, manufacturers attributed their growth to their greater commitment to research.
More than 70 per cent of our total costs go to research and development
The head of a Shandong gym equipment maker said overseas sales increased 97 per cent this first quarter against the same time last year.