Canton Fair signals trade's bright future

"Many established clients showed considerable interest in our new products and signed long-term contracts then and thereafter learning about our new improvements," said Lin Xiaofeng, deputy director of the company's overseas business department. He said he often fielded questions about early deliveries.

The COVID-19 pandemic meant the company had to stay in touch with global buyers mostly via cross-border e-commerce platforms over the past three years. But it kept up with trends in the solar industry and increased research and development to produce a better range of higher-quality products, he said.

Wang Jing, a researcher at the Bank of China's Research Institute, said optimization of China's trade structure, industrial upgrades and scientific and technological advances have enabled the country's foreign trade firms to move up the value chain and sharpen their strengths.

Constant transformation and upgrading have helped the company navigate market volatility during the pandemic. The company's new energy products have been sold in 55 economies, mostly in emerging markets, as rapid population growth in those regions has presented great market potential, according to Lin.

Many new customers were looking forward to in-person factory visits as soon as possible, Lin said. The company had anticipated that, and its production line and research center have remained prepared to reassure potential clients and secure more orders, he added.

Wang, the researcher, said that while global economic recovery is making slow progress, as shown by sluggish international trade growth and a shortage of international flights, companies participating in the fair and overseas buyers have expressed positive sentiments and reached deals during the event, which are good signs for China's overall foreign trade.

The World Trade Organization said in a report released in early March that signs continue to point to weakening global trade growth in volume after the Goods Trade Barometer fell to 92.2 points, down from 96.2 in November and well below the baseline value of 100, indicating below-trend growth.

China's foreign trade, however, posted a stronger-than-anticipated performance and got off to a steady start in the first four months, as total imports and exports expanded 5.8 percent year-on-year, according to the General Administration of Customs.

Exports grew 10.6 percent year-on-year to 7.67 trillion yuan ($1.1 trillion) while imports rose slightly to 5.65 trillion yuan, bringing total trade to 13.32 trillion yuan, said Customs officials.

China saw a notable increase of 72 percent in exports of three environmentally friendly products — solar batteries, lithium-ion batteries and electric vehicles. The three products contributed 2.1 percentage points to the overall growth of exports during the first four months, the GAC said.

The new trends in China's foreign trade were reflected at this year's trade fair as new exhibition sections were set up featuring industrial automation, smart manufacturing and new energy vehicles, officials said.

The three green product categories have huge potential, given that their market penetration in major markets is still relatively low, according to Xu Hongcai, deputy director of the China Association of Policy Science's Economic Policy Committee.

"China has a complete industry chain, strong supply capacity and preferential policy support in this regard," he said. "It's very much expected that the export volume of these products will grow rapidly in the next three years."

Dongfeng Liuzhou Motor Co, an automobile manufacturer in the Guangxi Zhuang autonomous region, arrived at the fair with two newly developed electric vehicles, which company officials said were very popular among foreign buyers.

"My colleagues and I barely had a chance to rest since we were so busy demonstrating our products to overseas buyers. Many were eager to place orders," said Zhang Feng, director of the company's marketing department.

Overseas buyers, including those from automotive powerhouses such as Germany, Japan and Australia, have a growing appreciation for the quality of Chinese vehicles, he said, adding that the value of Chinese car exports is expected to keep rising with a greater diversification of trading partners in years to come.

Lin, from Topray Solar, said Chinese exporters of all kinds must improve product quality and core competitiveness on an ongoing basis by increasing spending on research and development and advancing new technologies.

"More foreign buyers will come to the Canton Fair and other Chinese trade events, creating greater opportunities. Chinese companies must be ready for whatever moment comes their way," he said.