CIFM / interzum guangzhou 2020: Multitude of “Belt & Road” opportunities for upstream furniture production industry
According to Koelnmesse and China Foreign Trade Centre (Group), the organisers of CIFM / interzum guangzhou 2020, China’s Belt and Road Initiative could not have come at a better time for Asia’s largest and most comprehensive woodworking machinery, furniture production and interiors trade fair. Held in Guangzhou, China, from 28 – 31 March 2020, the event is regarded by the industry as a key gateway for foreign furniture suppliers to enter the fast-growing Chinese market and an ideal place to size up the competition.
With Guangzhou being an important city for the Maritime Silk Road in the hinterland of the Guangdong-Hong Kong-Macau Greater Bay Area as well as the centre of South China’s furniture manufacturing powerhouse, a growing number of buyers from the region are expected to descend at the event from 2020 and beyond. Riding on the opportunities brought about by China’s Belt and Road Initiative, economies along the trade route are stepping up in expanding markets and at the same time importing high-quality resources, products and technologies. The world's leading producers of furniture raw and auxiliary materials are jumping onto the bandwagon by providing high-quality textiles, wood, woodworking machinery and furniture hardware for the global furniture manufacturing market. The Initiative has also given impetus to alleviate logistical issues – one of the bottlenecks restricting the development of the industry – with rapid progress driven by China to establish and better infrastructure and connectivity.
Spanning 5,000 m2, the expanded Custom Furniture Suppliers zone in Hall 14.1 is dedicated to showcasing a host of products such as accessories for upholstered furniture, textiles, hardware components and panels. The welcomed move came against the backdrop of stable growth rates of China's custom furniture market at above 20 % over the past seven years. 2018 saw an increase of 20.2 % over the previous year to about USD 41.4 billion. It is predicted that by 2020, the market size is expected to exceed USD 48.5 billion. At present, market penetration of custom furniture stands at a low 30 %, compared with 60 – 70 % in developed countries, like the USA and South Korea. As the concept matures among Chinese consumers, demand is expected to extend from the current custom cabinets and wardrobes to the entire house, paving the way for tremendous growth.
Yet another much-anticipated enhancement made to the 2020 edition is a newly segmented Hall 12.1, which will focus on machinery for upholstered furniture production. According to the organisers, some big names to be featured include Duerkopp, Adler, Mammut (Germany), Robatech (Switzerland) and Baomo.
Data reveals that in 2018, China's sales of upholstered furniture reached USD 90 billion, with the country becoming the world's largest consumer of the product category. The boom has driven the upstream supply chain of raw and auxiliary materials such as leather, sponge, wood and pneumatic components to prosper.