The first edition of the Chengdu International Trade Fair for Automotive Parts and Aftermarket Services (CAPAS) attracted 11,045 visitors from 22 countries and regions July 21-23, 2014 at the Chengdu Century City New International Exhibition & Convention Center, China.
The top 10 overseas visiting countries and regions to Southwest China’s one-stop platform for information exchange, marketing and trading, which covered parts and components, accessories and tuning, as well as repair and maintenance were (in order of highest attendance): Malaysia, Taiwan, Hong Kong, Italy, Thailand, U.S., UK, Japan, Singapore and Russia. In addition, the show attracted 593 exhibitors from 13 countries and regions: Brazil, Canada, China, Denmark, France, Germany, Hong Kong, Korea, Malaysia, Singapore, Slovakia, Taiwan and the U.S.
Commenting on the show’s successful debut, Wang Xia, President of the China Council for the Promotion of International Trade, Automotive Sub-Council (CCPIT-Auto), said “I am pleased that CAPAS provided a highly effective platform for the industry by attracting quality exhibitors and many professional domestic and overseas buyers from the auto manufacturing, auto parts production and distribution sectors as well as repairs and maintenance services. In 2013, the car parc in China exceeded 137 million units. As a result, China has become the world’s second largest auto consumption country, which provides an aftermarket with a capacity of over RMB 700 billion. As we can see from some mature overseas markets, the aftermarket sector accounts for almost 60% of profit margins for the whole auto industry chain.”
Jason Cao, Senior General Manager, Messe Frankfurt (HK) Ltd added, “With the huge support from our prestigious supporting associations, organizations and government agencies, the first show was held successfully with 35,000 square meters of exhibition space. In addition, a promising number of exhibitors came from Southwest China, confirming the recognition and high demand from this market. It proves that launching a professional trade fair for the auto parts and aftermarket sectors in Southwest China was a wise decision.”
Commenting on the market potential, Li Gang, President of the China Council for the Promotion of International Trade, Sichuan Council (CCPIT-Sichuan), said, “Chengdu is reputable for its abundant resources and is regarded as the most dynamic city in Western China. With its prosperous market, good logistics services, well-developed industry infrastructure as well as its advantageous location as an extension point to other nearby important cities, it has attracted many key auto manufacturers to set up their plants here such as FAW-Volkswagen, Toyota, Geely and Hyundai.”
Exhibitors,visitors discuss the show and Southwest China market
Shanghai BPI Trading Co. Ltd. is a U.S. brake parts supplier with three brands: Raybestos, Haimeng and Aimco. The company exhibited at the show to strengthen their brand image in Southwest China. Marketing Executive Jin Jie Li said: “Since the Sichuan market offers great potential, it is important for us, so we want to find more dealers and distribution channels at the show. So far I’ve collected about 100 valuable contacts and I’ve also met overseas buyers from emerging markets such as the Middle East and South America. Exhibiting at the show helps develop our business in Sichuan.”
Du-Hope International Group is China’s exclusive agent for Liqui Moly GmbH, a renowned global supplier of engine and gear oils, oil and fuel additives as well as auto care products. Xianghua Meng, Du-Hope’s, Manager for the Southwest Region was impressed with the show. He said, “The market prospects in Southwest China are as good as in Shanghai, Guangdong and other areas, so we have been looking for an opportunity to enter this market. We aim to promote our brand and find partners from terminal repair shops and 4S shops. At the show I had contact with many professional buyers and many showed interest in cooperating with us.”
Also wanting to strengthen their brand image and explore new business opportunities was ContiTech Shanghai Rubber & Plastic Technology Ltd. Its German parent company Continental is a leading specialist in rubber and plastics technology. Wei Xu, Sales & Marketing Manager (China), said, “The Southwest China market is our strategic direction and I am happy to have already collected valuable business leads at the show. Chengdu is the center of Southwest China and its business opportunities can extend to Yunnan and Guizhou. Also, Chengdu’s car parc has grown rapidly in the past 10 years. I think no companies would want to miss this market.”
Sharing a similar view was Hongwei Zhang, Sales Manager for Yingkou Dali Automobile Maintenance Equipment S&T Co Ltd. He said, “We’ve met our target customers from aftermarket dealers and end customers such as workshops. The end customers are quality visitors. At the show, we organized an ordering event for agents and an activity with our agents in Chengdu city, aiming to promote our brand and products to our end customers. We received good response. Sichuan market has good potential.”
Visitors said they were satisfied with the show. Chuanfu Xiang from Chengdu Jin Zheng Auto Parts attended the CAPAS Matchmaking Forum to source brake pads and brake rotors. He said, “I knew some of the suppliers at the forum but I have never met them before. It’s good that I could finally meet them in person. As the first edition of show, I think the overall result is good.”
U.S. visitor Frank Cong, Asian Business Development Manager for Walker Products Inc,, which is one of the largest fuel system components and engine sensors manufacturers, came to the show for sourcing and marketing reasons. He said, “CAPAS is Messe Frankfurt’s first show in Southwest China, so we want to explore the market. Chengdu and Chongqi are two important locations in Southwest China. In addition, our important dealers are here at the show. Finding dealers in Chengdu is important because this city serves as an extension point to the Northern China markets like Xinjang.”
Also optimistic about the market was Gaoxiang Tang, Purchasing Manager for Chengdu East-tech Industrial Develops Co Ltd. He said, “I came here to source mainly chassis, brakes, clutches and other related products. At the show I’ve met many of our existing business partners. I would also like to find new suppliers and hope to explore new business cooperation at the show. The demand for auto parts and aftersales service will certainly increase after four to five years because Chengdu’s car ownership rate is growing rapidly.”
Show programs
The show organized 11 fringe programs including various forums, seminars, product presentations as well as auto city visits during the 3-day event, giving industry experts, exhibitors and visitors opportunities to exchange the latest industry and market information effectively.
CAPAS Academy speaker Yiqiang Peng, Deputy Dean for School of Transportation and Automotive Engineering of Xihua University, said, “The seminar plays a guiding role in improving Southwest China’s auto market by helping the audience to better understand local market development as well as government policies and incentives. In addition, it offers an opportunity for information exchange and builds a bridge for the audience and the industry professionals.”
Audience member Yanyi Zhang, Deputy Secretary General for the Expert Committee Automobile Marketer of Sichuan Association of Automotive Engineering was happy with the speaker presentations. He said, “In particular, Mr Peng’s analysis of the auto parts industry problems and his own figures and data were very helpful for the entire automotive industry chain.”
Another event, “Increase Export Profit and Establish Self-owned Brands Seminar”, was organized by Shanghai Top Team Enterprises Co Ltd. Company’s Director Christina Deng said: “I understand that many Chinese companies, especially manufacturers, encounter bottlenecks in their businesses. This seminar offered an ideal platform for industry peers to address their problems, gain new insights and be inspired.”
Polish audience member Borys Czajczynski, Sales and Marketing Vice President for Ceramizer Sp. Z O O, also found the seminar worth attending. He said, “Although the presentation was not completely suitable for our business model, I found the information interesting. For example, I’ve learned more about the characteristics of the auto parts business in China. Also, the speaker gave useful facts about the Chinese market and the mentality of Chinese people, which can help plan our future strategy.”
CAPAS is organized by the China Council for the Promotion of International Trade, Automotive Sub-Council (CCPIT-Auto), Messe Frankfurt (Shanghai) Co Ltd, and the China Council for the Promotion of International Trade, Sichuan Council (CCPIT-Sichuan).
The next edition of show will be held in May, 21-23, 2015. For more information about CAPAS, visit www.capas-chengdu.com, or email [email protected].
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