138th Canton Fair: China's assured advance in global value chains

Editor's note: Yang Shuiqing, a special commentator for CGTN, is a research fellow at the Institute of American Studies, Chinese Academy of Social Sciences. The article reflects the author's opinions and not necessarily those of CGTN.

In the golden autumnal month of October, the 138th China Import and Export Fair (Canton Fair) opened in Guangzhou, south China's Guangdong Province, with 1.55 million square meters of exhibition space, 74,600 booths and 32,000 companies, collectively painting a grand spectacle of global trade and showcasing a vibrant gathering of merchants.

This fair presented China with a window to the world on its systematic upgrade from "leading in scale" to "pacing in technology" and even "leading in application," demonstrating its increasingly mature and confident international competitiveness.

Building a solid foundation for foreign trade

This year's Canton Fair, with its record-breaking size, demonstrated China's magnetic pull as both a "world market" and a "world factory." The first phase, themed "Advanced Manufacturing," focused on five key sectors, including but not limited to electronics and home appliances, industrial manufacturing and vehicles and two-wheelers. Popular zones like "Smart Life" and "Service Robots" were packed with visitors.

Over 5,500 high-quality, specialized companies are participating, with a growing presence of national high-tech enterprises, champions in specific manufacturing fields and specialized "little giants" accounting for approximately half of the exhibitors.

Fortune 500 companies and industry leaders such as Haier, Midea and Gree competed alongside artificial intelligence (AI) unicorns, forming a complete industrial ecosystem led by leading enterprises and supported by small and medium-sized innovators.

He Sifan, China General Manager of a German company participating at the fair, hit the nail on the head when he said, "The Canton Fair is not only the core pillar of our procurement strategy, but an important catalyst for driving industry change." This dual leap in scale and level highlights the role of the Canton Fair as a "barometer" and "weathervane" of China's foreign trade and also demonstrates the core advantages of China's complete manufacturing system and strong supply chain resilience.

Innovation leads industrial leap

The new innovative products represented by robots and AI have made their debut at this Canton Fair, reflecting the fact that China's manufacturing is deepening from "products going overseas" to "technology going overseas."

In the field of robotics, China's strength has become a multifaceted force. From the intelligent orthopedic surgical robots capable of performing submillimeter precision joint replacements, to autonomously learning and evolving robotic "physiotherapists" and "baristas," to various intelligent robots used in landscape, photovoltaic and home applications, Chinese products have not only achieved breakthroughs in functionality but also rivaled internationally advanced levels of precision and intelligence.

Li Jiaxian, a manager of Shenzhen Yuejiang Technology, revealed that their collaborative robots have been sold to over 100 countries worldwide, with exports expected to have increased by over 50 percent in 2024 and revenue from commercial service robots surging by 165.5 percent year-on-year. This is underpinned by China's strong position, having already secured the second-largest global share of industrial robot exports.

AI is revitalizing traditional industries. High-tech appliances like AI-powered smart glasses and large-scale white goods, as well as smart TVs that utilize AI to enhance the human-computer interaction experience, are all examples of how "AI+" is empowering the upgrading of traditional industries.

Globalization strategy: From 'going out' to 'going in'

Faced with a complex and volatile international trade environment, Chinese manufacturing companies have demonstrated strategic resilience and global operational capabilities. Their global presence has evolved from early product exports and original equipment manufacturing to a comprehensive and deep integration of brands, overseas factories, local operations and even market definition.

A garden equipment company in Ningbo, east China's Zhejiang Province, exemplifies this process. Chinese smart lawn mowers now account for over 80 percent of global top brands, a sector dominated by the Chinese industry chain. Positec Technology has adjusted its market structure by establishing branches, research and development centers and manufacturing bases in over a dozen countries, including the United States and Vietnam. They have leveraged their unique products to control pricing and mitigate external risks.

Open cooperation for a win-win future

Over the past six decades, the Canton Fair has continued to expand its "circle of friends." This year's edition added 18 new global partners, bringing the total to 227, covering 110 countries and regions.

Arthur Guimaraes, general manager of the Chinese Chamber of Commerce of Brazil, said, "We support Brazilian companies that want to find reliable partners here in China. Every Brazilian buyer who attends the Canton Fair encounters countless options for every product they are looking for." This trust stems from long-standing recognition of China's manufacturing quality, innovation and contract fulfillment capabilities.

This confidence is further reflected in China's grasp of global market demand. Whether defining the standards for the smart lawn mower market or launching revolutionary surgical robots and personalized AI-powered smart products, Chinese companies are transforming from being "followers" to "world leaders."

The 138th Canton Fair, with its grand scale, cutting-edge exhibits and attentive services, presents to the world a confident answer to the high-quality development of China's manufacturing industry.

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