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The new session of the Canton Fair has officially begun – is the plastics industry ready?

2009-04-20View Original

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According to Yimao Information, the 105th China Import and Export Fair (also known as the Canton Fair) officially opened on April 15 in Pazhou, Guangzhou. It has a history of 53 years now. As an important international trade platform and the main channel for China’s foreign trade exports, the Canton Fair has long been regarded as a \"barometer\" of the foreign trade market. In previous years, it has often attracted thousands of foreign companies to participate. However, with the global economic crisis placing a heavy burden on it, it remains to be seen whether this Canton Fair will be able to help the domestic market overcome its difficulties and find new opportunities, or whether it can inject some vitality into the currently stagnant plastics industry. Affected by the global financial crisis, the plastics industry, like other industries, is experiencing unprecedented fluctuations. Weak demand is the strongest indication of the stagnation in market activity. Regarding the current low level of transactions, market participants generally say, \"Demand from downstream sectors has still not really picked up.\" ”Although **new market-stabilization measures are continuously introduced and the export tax rebate rates are raised time and again, these efforts do not provide immediate relief. While in the long run such policies are beneficial for the survival of export-oriented enterprises, it remains doubtful whether they can effectively help them overcome the current situation of a sharp decline in orders in the short term. “Regarding this Canton Fair, actually, no one has high expectations. ”An industry insider in the plastics sector spoke frankly. “On the one hand, there won’t be many foreign companies participating in this exhibition, as the demand markets abroad have shrunk significantly – where would so many orders come from? On the other hand, most domestic factories are currently in a desperate situation; they will surely compete fiercely for the limited orders from abroad, which inevitably leads to price wars. Such price wars give foreign companies more options to choose from, so there won’t be many actual orders placed by foreign buyers at the Canton Fair. ”According to a market analyst, it will take until mid-May at the earliest to figure out exactly how much \"business\" the Canton Fair can generate, from the initial contacts at the fair to the selection of manufacturing companies and ultimately to the placement of orders. One thing on which everyone agrees, however, is that the order situation won’t be very good. ” Based on the rough understanding of Yimao’s editors, the vast majority of people in the plastics industry have very limited expectations for this Canton Fair; the key factor here is the lack of confidence in the market. Therefore, the Canton Fair is not just a battle for orders; it is also a battle for confidence. Whether this platform can help people regain their confidence may well be the essence of this trade fair. Content link: http://www.cbichina.com/information/default.aspx

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