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CAPAS 2018 optimises product offerings to facilitate Southwest China’s aftermarket transformation

Mar 8, 2018

As a leading platform for the automotive industry in Southwest China, the Chengdu International Trade Fair for Automotive Parts and Aftermarket Services (CAPAS) continues to align the region’s automotive industry with the country’s development strategies. The coming edition will be held from 24 – 26 May 2018 at the Chengdu Century City New International Exhibition & Convention Center, China. The fair is expected to house around 580 exhibitors across 45,000 sqm of exhibition space and welcome 20,000 visitors.

The political and economic influence of the Yangtze River economic belt, together with the Maritime Silk Road, plays an important role in China’s National Development Strategy. Benefiting from these geographical and industrial advantages are key automotive cities in the Southwest region, including Chengdu and Chongqing. This allows their markets to continually evolve and develop, particularly within the automotive industry. For example, according to the Traffic Management Bureau of the Public Security Ministry, Chengdu and Chongqing recorded 4.29 million and 3.5 million car owners in the first half of 2017, the second and third highest in China[1] respectively.

What’s more, the global drive towards more environmentally friendly policies, new energy vehicles, and intelligent manufacturing is gradually filtering into many Chinese markets. Subsequently, manufacturers, distribution channels, and end-users are now facing the challenge of a sustainable transformation, in a bid to compete with the rest of the world. As such, the upcoming edition of CAPAS 2018 will not only be home to the region’s key players looking to capitalise on its geographical prospects, but also to those driving the change for a greener industry.

Mr Shunfeng Li, Vice President of Chengdu Auto Parts Trade Association, believes the show will allow industry professionals to reach out to better products, technologies and business philosophies. He said: “Since the government is promoting more environmental protection these days, various service centres, repair shops, tyre shops and logistic companies in the Sichuan region are undergoing significant reform. We expect to see higher quality products, thanks to the improvement in manufacturing and distribution channels.”

New products emerge to meet the region’s growing environmental policies

In line with the Planning for the Development of the Energy-Saving and New Energy Automobile Industry (2012 – 2020), the average annual fuel consumption for passenger vehicles in China will reportedly decline to just 5 litres per 100 kilometres by 2020[2]. In response to this, the quality of motor oil will also have to increase tremendously which will certainly affect the product structure of this market. In terms of the Southwest region, the current oil market mostly focuses on middle and lower-end products. Despite this, with the government’s increased emphasis on eco-friendly policies and improved product offerings, many renowned lubricant oil suppliers see great potential in developing the market in the Southwest region.

One such supplier is Liqui Moly, who will be exhibiting at CAPAS 2018. Mr Suhuai Gao, Marketing Planning Manager of Du-hope International Group, the exclusive agent of Liqui Moly in China, said: “Though rapid economic growth, the Southwest region in China is still at a developing stage in the eyes of high-end brands. We have always been pursuing high quality and performance in all of our products, including our motor oil series that can save fuel and reduce pollution. We have been exhibiting at CAPAS since the first edition and this year we want new business partners who are seeking high quality products.”

Meanwhile, Shandong Yihe Lubricant Oil Co Ltd will make its debut at CAPAS 2018. Ms Huili Wang, Marketing Manager of the company, commented: “Our products have received various awards such as China’s High-Quality Brand-Name Products and China’s Green Environmental Protection and Energy Saving Products. We will bring a newly developed series of lubricant oils to the fair this year, and we are very optimistic about the benefits that CAPAS will bring to us. Through our presence, we would like to know more about the market in the Southwest region, and build on our influence there.”

SDZ Auto Parts Co Ltd also notes the importance of energy saving initiatives in the region. The company specialises in a wide range of products, including fuel, oil coolers and electrical systems, and also owns a market share of 33% in the distribution channel of same product group.

Mr Haibo Chi, Chairman of the company, said: “At the 2018 show, we will launch our thermostat assembly catering specifically to the Southwest market, which meets Euro 5 emission standards. For us, CAPAS is a comprehensive platform for industry stakeholders to step into this potential market, and we expect to increase our reputation in the Southwest region by exhibiting at the fair. ”

Elsewhere during the course of the show, CAPAS 2018 will continue to present six theme zones to provide a better business matching platform for both exhibitors and visitors. These are: Supply Chain Procurement Zone, Quick Fix Zone, Replacement Parts & Chain Stores Zone, Automobile Lifestyle Zone, Made in Sichuan Zone, Commercial Vehicle Zone, and E-mobility & Infrastructure Zone.

One of the most anticipated aspects is the Commercial Vehicle Zone. Ms Yolanda Huang, Director of Aftermarket Trailer CVS China, Knorr-Bremse Commercial Vehicles Systems (Shanghai) Co Ltd, said: “The Southwest region has a great demand for high-end commercial vehicle systems, so we set up a factory in Chongqing to improve the technology standard in the market, and to better implement environmental and new energy policies in the region. CAPAS is an influential industry event with a renowned Commercial Vehicle Zone. This helps us to get in touch with our potential customers much easier, and boosts our brand awareness.”

Ms Fiona Chiew, Deputy General Manager of Messe Frankfurt (Shanghai) Co Ltd, also added her thoughts ahead of the show: “CAPAS has been upgrading itself with an enhanced product offering and a wider scope of products for both exhibitors and visitors. In 2017, the annual sales growth of vehicles in the Southwest region stood at 9.9%[3] compared to the previous year, which is the fastest in the nation. With car ownership increasing rapidly, it helps to create unrivalled business opportunity in the market. The extensive global resources and unique advantages of CAPAS offer greater ideas and higher quality products. Under the government’s ‘go green’ policies and with the increasing demand on data usage and business efficiency in the region’s aftermarket, we will further enhance our range of conferences, seminars, and training sessions, to present a more advanced and cutting-edge industry through CAPAS 2018.”

CAPAS is jointly organised by the China Council for the Promotion of International Trade, the Automotive Sub-Council (CCPIT-Auto), Messe Frankfurt (Shanghai) Co Ltd and the China Council for the Promotion of International Trade (CCPIT-Sichuan). For more information about the show, please visit www.capas-chengdu.com or email auto@hongkong.messefrankfurt.com.

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[1] Traffic Management Bureau of the Public Security Ministry. http://www.mps.gov.cn/n2255040/n4908728/c5738655/content.html. Retrieved on 24 January 2018.

[2] “Notice of the State Council on Issuing the Planning for the Development of the Energy-Saving and New Energy Automobile Industry (2012 – 2020)“, 9 July 2012. The Central People’s Government of the People’s Republic of China. http://www.gov.cn/zwgk/2012-07/09/content_2179032.htm. Retrieved on 24 January 2018.

[3] http://www.sohu.com/a/190365540_99994098. Retrieved on 24 January 2018.

Background information on the China Council for the Promotion of International Trade, Automotive Sub-Council (CCPIT-Auto)
The China Council for the Promotion of International Trade, Automotive Sub-Council (CCPIT-Auto) promotes foreign trade and economic cooperation, technical exchange and introduction of advanced technologies for China’s auto industry by following the China Council for the Promotion of International Trade and China Chamber of International Commerce charter. It acts as a bridge for Chinese auto industry enterprises to build cooperation and exchange opportunities across the world. In addition, the committee organises three world leading and highly regarded international automotive exhibitions in Beijing, Shanghai and Guangzhou.

Background information on Messe Frankfurt
Messe Frankfurt is the world’s largest trade fair, congress and event organiser with its own exhibition grounds. With more than 2,500* employees at some 30 locations, the company generates annual sales of around €661* million. Thanks to its far-reaching ties with the relevant sectors and to its international sales network, the Group looks after the business interests of its customers effectively. A comprehensive range of services – both onsite and online – ensures that customers worldwide enjoy consistently high quality and flexibility when planning, organising and running their events. The wide range of services includes renting exhibition grounds, trade fair construction and marketing, personnel and food services. With its headquarters in Frankfurt am Main, the company is owned by the City of Frankfurt (60 percent) and the State of Hesse (40 percent).
* preliminary numbers 2017
For more information, please visit our website at:
www.messefrankfurt.com | www.congressfrankfurt.de | www.festhalle.de

Background information on the China Council for the Promotion of International Trade, Sichuan Council (CCPIT-Sichuan)
The China Council for the Promotion of International Trade, Sichuan Council (CCPIT-Sichuan) aims to promote foreign trade cooperation and communication, under the guidance of the Sichuan Provincial Party Committee and the Provincial People’s Government, and in accordance with the guidelines of national economic policy and principles. Its main duties are to encourage foreign trade and investment, enhance economic and technological exchange and cooperation, and to foster local enterprises to participate in the economic globalisation. CCPIT-Sichuan also organises a number of international exhibitions including the Western China International Fair.

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