Canton Fair Opens to Economic Uncertainties
Reportedly Asia’s largest trade fair, the spring edition of the biennial China Import and Export Fair (Canton Fair), opened earlier this week amid unfavourable market conditions of economic and geopolitical uncertainty, avian flu and rising costs.
According to the latest statistics, China’s year-on-year export growth in March this year slowed to 10%, compared with growth of 21.8% recorded in February. The country’s year-on-year first quarter GDP growth also slowed to 7.7%, down from the 7.9% recorded in the fourth quarter of 2012.
As a result of rising labour costs and appreciation of the Yuan, one Indian buyer of audio/video equipment reported an increase of more than 50% in price compared to a decade ago. One Taiwanese buyer of auto accessories also claims costs have risen by between 10% and 20% compared to last year.
The spring trade fair reportedly attracted 24,200 exhibiting companies to occupy 59,000 exhibition booths this year.