A subtle change in the official name two years ago of China’s largest trade show reveals a shift in the way the country looks at its economic future.

During its 100th session in 2007, what was known informally as the Canton Fair and officially as the China Export Commodities Fair became the China Import and Export Fair.

Along with adding “import” to its name, the fair enlisted Chinese Premier Wen Jiabao's help in opening a new International Pavilion, a 160,000-square-foot area specifically designated for foreign exhibitors.

The message? China has integrated with the world economy and is a place to sell wares and do business, not just a base for sourcing products, said Mu Xinhai, vice secretary general of the fair, during a recent visit to Atlanta.

The China Import and Export Fair is the largest trade show in the world by attendance. It has been held in the southern Chinese city of Guangzhou in the spring and fall of each year since 1957. Last year, a total of nearly 400,000 buyers from more than 200 countries attended the two sessions.

Out of 22,000 exhibitors during the fall 2008 session, the share of U.S. companies was very small, and a total of only 424 overseas companies had displays in the International Pavilion.

As the 105th session of the fair approaches, six Chinese delegates led by Dr. Mu came to the U.S. looking to attract exhibitors and buyers from four cities: Atlanta, Philadelphia, San Francisco and Washington. 

Although it's too late for companies to exhibit at the upcoming session April 17-May 7, buyers can still sign up. Exhibitors can join in the fall session in October, Dr. Mu told GlobalAtlanta in an interview following a March 16 presentation at the World Trade Center Atlanta.

Dr. Mu, who is also the vice chairman of the China Foreign Trade Center, which administers the fair, said the financial crisis of 2008 led to a decrease in buyer attendance compared to 2007.

But in his presentation, he was optimistic about this year’s fair and China’s economic outlook for 2009. 

“We believe that China’s development will not change its path because of this crisis,” he said.

He told GlobalAtlanta that the fair is an ideal entry point for American companies looking to do business in China and that local economic development organizations should urge their members to participate.

Last year, about $31.5 billion in deals occurred at the fair, and that was a decrease from the year before. 

During his presentation, Dr. Mu outlined the Chinese government’s steps to boost domestic consumption and reduce the Asian juggernaut’s dependence on exports. Weakening consumer demand in global markets has slammed Chinese exports in recent months.

Despite the fact that exports in February dropped 25.2 percent compared to the same month last year, Dr. Mu believes that China will still be able to hit its target of 8 percent gross domestic product growth this year.

The World Bank forecasts 6.5 percent growth with the caveat that China is still likely to grow faster than other countries throughout the downturn.

Dr. Mu said China has enacted a timely and heavy stimulus package of 4 trillion Chinese yuan (about $587 billion) that will help sustain its economy and build infrastructure during 2009.

With 1.3 billion people, China is often looked upon as a massive consumer market, but more than half of its population lives in the countryside, and in 2007 its per capita gross national income was a little more than $2,400.  

Dr. Mu shrugged off the suggestion that because of this, China would have problems building consumer spending.

“I have to remind you that we have a population of 500 million already in the cities,” more than Europe’s 450 million, and many have very high incomes, he said through a translator.

Dr. Mu’s presentation at the World Trade Center Atlanta was sponsored by the Georgia China Alliance and the Georgia Chamber of Commerce. 

Consul General Qiao Hong and other representatives from the Chinese consulate in Houston were in attendance as well.  They visited Atlanta to celebrate China Day at the Capitol on the next day, March 17.

The Canton Fair delegation wasn’t restricted to downtown Atlanta. The Gwinnett Chamber of Commerce, which is seeking to build its China ties, hosted Dr. Mu and Ms. Qiao at a luncheon that attracted about a hundred guests.

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