Global Sources Exhibitions General Manger, Tommy Wong, said Hong Kong's exhibition industry has not been hit hard by the global financial tsunami. The China Sourcing Fair: Electronics & Components that opened yesterday showcased 2,500 booths, a growth compared to last year's number. In addition, China is expected to remain the major supply base for international buyers.

Emerging markets a new focal point

The Fair featured 1,900 exhibitors, among them 76% are from China and 10% from Hong Kong. There are also South Korean, the U.S. and Italian exhibitors among others. This show attracted buyers from established markets of North America and Western Europe, as well as new buyers from Russia, India, and Middle East. The number of buyers pre-registered for the show has reached 38,000.

Wong said the company understands buyers' needs through various channels and they are now focusing their efforts to help buyers from emerging markets like India, Brazil and Russia. The company also launched the e-sourcing program earlier this year to help mainland China suppliers sell to buyers in these markets. Wong predicted that the most popular products in the show would be computers & networking products, and mobile phones.

Wong added that the global economic slowdown had prompted a number of buyers to skip the show held last fall. As the sale season has left the overseas retailers with little stock, it's time for them to replenish their inventories. Therefore Wong expects the show will attract a lot of buyers to visit.

Regarding China manufacturers' dependence on the US and European markets, Wong said, mainland China manufacturers now can operate in three directions: First, they should retain the U.S. and European buyers; second, explore more new opportunities in emerging markets; and third, focus on the domestic market and reducing reliance on exports only.

Wong added that recently, China's export decline has stabilized and the Purchasing Manager Index has rebounded, indicating that more sourcing activities are now underway. Though the market has changed and buying habits are different, buyers are still buying. In many cases, they are looking for new 'value' products, innovative items.