Asia
Asia ’ s exhibition dragons to come roaring back ?
With UFI holding its Asia conference in Macau , 7-8 March , EW asked some experts on the region for their thoughts on likely developments for the sector there in the coming year . We follow that with a look at some selected destinations to see how trends and business are moving
ichael Kruppe , CEO
M of the Shanghai New International Expo Centre ( SNIEC ) tells EW that his venue , having being transformed into a huge hospital holding 50,000 beds plus 24,000sqm as ICU back in 2022 , recovered in 2023 much better than expected . SNIEC , he says , reached 90 % of its 2019 record levels of business despite what was still largely a chaotic market situation in 2023 . “ This was only possible with the relentless work of the whole SNIEC team to provide top service to the customers and at the same time implementing the new safety regulations from government ,” says Kruppe .
The CEO adds that SNIEC is expecting further changes with regards to sustainability requirements in the coming years . “ A special ESG task force has been formed and the company is well prepared to support any new policies in strong coordination with all stakeholders , especially show organisers and the government .”
Kruppe believes the exhibition market situation in China in general is very good and he expects that , besides the traditional B2B formats , there will be an increasing demand for B2C , confexes ( B2B2C ) or festival style expos and events .
“ With recent announcements of the Chinese government for more countries to enjoy visa-free visits , it is expected that the international organisers and exhibitors will return to China and Shanghai much faster than expected .”
Kruppe adds that 2024 may reach 2019 record levels and the expectation for the coming five years is “ very positive ”. “ Stakeholders ,” he says , however , “ should pay attention to potential higher costs related to ESG and sustainability measures and requirements .”
“ Discussing Asia requires a nuanced perspective that takes into account the distinctive characteristics of various regions and countries ,” believes Jochen Witt , president and CEO of industry consultancy jwc gmbh , and a specialist on the Chinese market .
“ China , encompassing Hong Kong , Macau , and Taiwan , remains the dominant force across all relevant metrics in the exhibition industry , including capacity , net rented space , exhibitor and visitor numbers , and revenue ,” notes Witt . “ Despite broader economic challenges , China is undergoing significant capacity
Above : Michael Kruppe
Above : Jochen Witt
expansions , underscoring a robust confidence in the sector , which witnessed a strong rebound in 2023 , poised to continue in 2024 , ultimately leading to a complete recovery by 2025 ,” he adds .
Witt explains that Chinese businesses have a strong inclination towards involvement in the exhibition industry which , he says , is “ a pivotal reason why the exhibition business in China demonstrates resilience and a significant degree of insulation from overall economic downturns , with government support providing additional fortification to the sector .”
Witt also sees India emerging as the second most crucial exhibition market , experiencing high growth rates post-pandemic in 2022 and 2023 . “ The outlook there remains optimistic , with projected growth rates ranging between 7 % and 10 % until 2025 ,” he says , while noting that India ’ s exhibition industry , while growing , still faces challenges such as a relatively small size compared to China , a scarcity of exhibition space , and a predominantly domestic focus hindering its ability to catch up with China in the long term . “ Within the ASEAN countries , integration , both politically and economically , remains distant ,” Witt says . “ Some nations benefit from a shift in production away from China , attracting increased attention from international organisers . The decentralised nature of these organisers ’ activities contrasts with previous years when hubs like Singapore took centre stage . Anticipating a swift recovery in most ASEAN countries , robust growth is expected over the next 2-3 years .”
And , while Korea and Japan have successfully rebounded , Witt notes , with expectations of returning to 2019 levels by 2024 , at the latest in 2025 , “ both are domestic markets with little activities of international organisers ,” he adds .
22 Issue 1 2024 www . exhibitionworld . co . uk