Global Crisis Brings Hard Time to Canton Fair
The financial turbulence has greatly affected China’s exports, and it lowered the expectations of China’s exporters as the country’s leading trade fair which is mainly known as the Canton Fair. The fair was opened yesterday. The autumn session of the biennial fair in Guangzhou is considered as the barometer of Chinese exports and imports, which will run till Nov 6, lasting for 15 days all together.
The number of booths this year is 53,000, 10,000 more than last time. Despite the encouraging changes, businessmen and analysts still have taken a cautious attitude toward China’s export prospects because of the global financial crisis, fluctuations in raw material prices, revaluation of the yuan, and a drop in consumption and other factors.
Buyers from US and Europe has greatly lessened this year, worse than that, US buyers do not want to attend such fair even in their own countries. Zhang Bin, a senior manager of the Qingdao-based company, said that the negative sides caused by the financial crisis would last at least one year. Changes also happened to Dubai-based Naghi Yasil, he said that because of uncertainties about the consumption market early next year and prices of raw materials and commodities, he may change his long-term deals into short- term ones.
According to the figures posted by the Ministry of Commerce, during the first three quarters of this year, China’s exports rose 22.3 percent to $1.07 trillion and imports increased 29 percent to $893.1 billion.
The growth of exports has shown an acceleration of 0.4 percentage points over the first half of the year, but is 4.8 percentage points lower than the same period last year.
“Although the export figures are not so discouraging,” Zhang Yansheng, director of the International Economic Research Institute of the National Development and Reform Commission, said, “But the country’s exporters arein a very difficult situation.”
Commerce officials are trying to boost the confidence of exporters. In addition, it is believed that China’s economy is still strong.
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