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Since the beginning of this year, the Guangzhou Municipal Bureau of Commerce has held three exhibition "going overseas" docking and exhibition salon activities. In order to help enterprises expand overseas exhibition markets, the bureau also organized the Guangzhou International Convention and Exhibition Industry Association to visit and exchange with exhibition "going overseas" destinations such as Malaysia, Thailand and Vietnam.

"2024 can be regarded as the 'first year for Guangzhou exhibition companies to go overseas'." According to relevant officials from the Guangzhou Municipal Bureau of Commerce, after preliminary investigation, more than 10 exhibition companies in Guangzhou have already or plan to hold more than 40 exhibitions overseas. "Both the number of exhibition companies and the number of overseas exhibitions held have increased significantly compared with last year and 2019 before the epidemic."

Why does Guangzhou, which has been attracting large-scale exhibitions to settle in recent years, encourage and lead exhibition companies to go global?

Strong willingness to go global

Enterprises are going overseas faster

In May this year, the Guangzhou Municipal Bureau of Commerce took the lead in conducting inspections and exchanges on exhibition and convention overseas destinations, and the Guangzhou International Convention and Exhibition Association organized its member units to participate in the event.

"During this inspection and exchange, we visited local government departments, business associations, exhibition halls and exhibition companies in Malaysia, Thailand and Vietnam, and gained an in-depth understanding of the market environment, exhibition conditions and exhibition policies of the three countries. At the same time, we also promoted the development opportunities and business environment of Guangzhou's exhibition industry." Zhang Jieheng, secretary-general of the association, recalled the content of the inspection at that time to Nandu reporters, "This trip not only deepened the exchanges and connections between Guangzhou's exhibition companies and the exhibition industries of the three countries, but also laid a good foundation for Guangzhou's exhibition companies to go overseas and hold exhibitions and attract more high-quality foreign exhibitions to Guangzhou." According to him, after the inspection, the Vietnam National Advertising Expo Company and the Kuala Lumpur World Trade Center in Malaysia also paid return visits to Guangzhou in May and July this year respectively, and actively negotiated cooperation in the exhibition industry with the association and exhibition companies.

The Kuala Lumpur World Trade Center of Malaysia visited Guangzhou to return the visit to the Guangzhou International Convention and Exhibition Association.

"From the situation of our association's members, the companies themselves have a strong and vigorous demand to go overseas, and 'going global' is becoming one of the directions for the industry to accelerate its momentum." Zhang Jieheng revealed that some time ago, under the guidance of the Municipal Bureau of Commerce, the association held the "Setting Sail in the New Blue Ocean, Discussing New Business Opportunities" Guangzhou Convention and Exhibition Industry Overseas Salon, and the member companies signed up very actively.

"This year, Guangzhou's exhibition industry has accelerated its overseas expansion and has a strong momentum." According to the association's preliminary survey, this year, a total of 16 exhibition companies in Guangzhou actively went overseas to host exhibitions, with a total of 44 exhibitions held in more than ten countries and regions including Vietnam, Thailand, and Malaysia. Judging from the current overseas expansion and planned overseas expansion, the first to go overseas are mainly exhibitions on themes such as home appliances, household goods and gifts, clothing and accessories, textile printing, industrial equipment, and building materials and hardware.

Domestic overcapacity

Going overseas is the only way

From July 25 to 27 this year, the 2nd Overseas Chinese Trade Fair (Vietnam) Smart Technology Exhibition was held at the Saigon Exhibition and Convention Center (SECC) in Ho Chi Minh City, Vietnam, with more than 150 companies participating. "The participating companies include not only companies from Guangdong Province, but also companies from Taiwan, Vietnam, France, and Singapore. Among them, there are two Chinese Fortune 500 companies, four listed companies, one unicorn company, and many specialized, new, and top 100 companies in professional fields among the domestic exhibitors." Guangdong Guangzhan International Exhibition Co., Ltd. is a wholly-owned subsidiary of Shenzhen Overseas Chinese Trade Fair Group in Guangzhou. Its main business is to host the Overseas Chinese Trade Fair Smart Technology Exhibition abroad. According to the relevant person in charge of the company, this year's exhibition attracted a total of 17,040 visitors during the three-day exhibition period, with an intended purchase amount of US$27 million. At the booth of Xiadan Technology (Zhuhai) Co., Ltd., six potential customers were welcomed on the first day of the exhibition.

It is reported that from 2023 to August 2024, the Overseas Chinese Trade Fair has held 8 overseas exhibitions in Malaysia, Thailand, Indonesia, Vietnam, Spain, Hong Kong, China, and Singapore. This year, the UAE has been added as the venue for the exhibition. "In the current situation of global economic downturn, domestic overcapacity, and a large reduction in orders from Europe and the United States, companies are in urgent need of going global and looking for emerging markets other than developed countries in Europe and the United States." The person in charge said that the Southeast Asian market is expected to become a new space for future growth due to its large and young population, strong purchasing power, rapid development of e-commerce and digital economy, and continued improvement in trade partnership with China.

Guangdong Guangzhan International Exhibition Co., Ltd. hosted the Overseas Chinese Trade Fair Smart Technology Exhibition overseas.

GCI ASEAN Retail Products and Business Intelligence Equipment Expo has been held for two years. It is led by the Thailand Exhibition Bureau (TCEB) and hosted by Guangdong Hongwei International Exhibition Group (hereinafter referred to as "Hongwei International"). Enterprises said that the global economy is recovering after the epidemic, and various industries are eagerly looking forward to international exchanges and cooperation. Hongwei International also radiates across the country with Guangzhou as the core, while deploying globally.

In 2023 and 2024, Hongwei International will successively hold amusement exhibitions and vending exhibitions in Russia, the United States, Europe, Thailand, Vietnam, Saudi Arabia, and Indonesia. Next year, it is also planned to hold exhibitions in India, Russia, Saudi Arabia, Indonesia, Vietnam, Thailand, Europe, and the United States. Talking about the reasons and significance of going overseas, the company said that in addition to expanding the market scale, going overseas can also help to disperse risks, enhance brand influence, and acquire new resources and technologies to enhance corporate competitiveness.

Guangdong Hongwei International Exhibition Group will hold amusement exhibitions and vending exhibitions in many countries and regions overseas in 2023 and 2024.

As early as 2016, Guangzhou Haohan Information Communication Co., Ltd. (hereinafter referred to as "Haohan Information") held exhibitions overseas. "We have tried to hold exhibitions and conferences in Vietnam, Cambodia and Indonesia. Among them, the Vietnam International Textile, Garment and Printing Industry Expo will be held for the seventh time this year." Haohan Information has two considerations for expanding overseas markets. First, the textile and garment industry in which the company is involved is a labor-intensive industry. As early as more than ten years ago, the textile industry began to transfer its industries to Southeast Asia. "The textile and garment industry in which Haohan Information is involved, as early as more than ten years ago, the textile industry began to transfer its industries to Southeast Asia. "Our customers went abroad early, so we followed them. Wherever the customers go, we go there. This is active going overseas." Second, in the past two years, domestic enterprises have had overcapacity and have begun to roll back. "If you don't go overseas, you will be out, so the country has begun to go overseas on a large scale to find markets. This is passive going overseas." The person said that whether it is active or passive going overseas, it is the only way for Chinese companies, including exhibition companies, to develop to a certain stage.

Guangzhou Haohan Information Communication Co., Ltd. has tried to hold exhibitions and conferences in Vietnam, Cambodia and Indonesia.

Guangzhou's exhibition industry develops steadily

Going overseas has advantages

In 2023, Guangzhou held 373 exhibitions with a total exhibition area of ​​10.9 million square meters, exceeding the pre-epidemic 2019. In the first half of this year, the city's key venues held 161 exhibitions with a total exhibition area of ​​6.1 million square meters, a year-on-year increase of 9.3%, ranking second in the country in terms of both the number of exhibitions and the area.

"Going overseas is of great significance and necessity for Guangzhou," said Zhang Jieheng. "Going overseas" is not only one of the key measures to enhance the international competitiveness of Guangzhou's exhibition industry, expand its international influence and reputation, but also an important way to help companies explore international markets and promote international trade. "In the context of global economic integration, going overseas will help Guangzhou better integrate into the global economic system and achieve sustainable, high-quality and international development of the exhibition industry."

In the interview, Zhang Jieheng said that Guangzhou is an important city in the domestic exhibition industry, and the major organizers have rich exhibition experience and professional talents. The parent exhibition held in Guangzhou is very mature, and there is a first-mover advantage in replicating and promoting it overseas. In addition, Guangzhou is located in the Pearl River Delta region, with developed manufacturing and modern service industries, which can provide exhibition companies with rich exhibit resources and industrial support. In addition, the provincial and municipal authorities have introduced a series of policies such as "Guangdong Trade Global" for the development of the exhibition industry, actively encouraging exhibition companies to "go global", so Guangzhou exhibition companies also have strong market competitive advantages in overseas exhibitions.

However, he also admitted that at present, the exhibition industry faces difficulties in market access, legal and cultural differences, communication barriers, operating costs and resource allocation when going overseas. Enterprises need to have an in-depth understanding of local culture, market environment and relevant laws and regulations, establish a local partnership network, avoid related legal risks, and open and expand the local market as soon as possible.

Written by: Southern Metropolis Daily reporter Yi Xiaoxia and Liao Yanping