China targets 10-fold rise in Mid East autoparts exports

Accelerating China's aggressive regional sales drive, 55 auto parts companies have contracted for the country's 648 square metres national pavilion, at next month's AAME. Last year 20 Chinese exhibitors too part.

'Vehicle spare parts and accessories currently account for between 1% and 2% of mainland China's US$3 billion total exports to the region,' said David Wang, Executive Manager, China Orient Management Consultancies, organisers of the China pavilion.

'It wants to increase the sector's share to 10% this year, bolstered by re-exports from Dubai, to Saudi Arabia, Kuwait and Iran, where there is big demand for spare parts for motor bikes and bicycles, as well as a host of African countries.

'Chinese companies have worked hard in recent years to improve the quality of their automotive pare parts and accessories, making their products even more competitive,' said Wang.

In addition to China, eight other countries have, so far, said they will have national pavilions at AAME 2003. They are Australia, Italy, India, Pakistan, Spain, Taiwan and, for the first time, Germany and Turkey.

AAME organiser International Expo-Consults (IEC) says the exhibition, to be held at the Airport Expo Dubai, from March 25-27, will double in size compared to the 2002 showing, occupying 3,000 square metres. It will feature over 250 companies from more than 30 countries across North and South America, Europe, the Middle and Far East and Australasia.

'The Middle East spare parts market is currently valued at between US$11-12 billion, fuelled by one of the highest per capita, and fastest growing, car ownership rates in the world. Re-exports of auto parts from Dubai, alone, are worth up to US 1.5 billion annually, ' said Mohammed Falaknaz, Vice President, IEC.

'These factors, plus the economic downturns in the US and Europe, have heightened international interest in the region, particularly from Far East manufacturers eager to develop new business or expand existing market share.'