A view of the China International Exhibition Center, the venue for CISCE II, in Beijing. Photo: Cheng Tao/GT
As more than 600 companies from around the globe attend the 2nd China International Supply Chain Expo (CISCE II) in Beijing, which runs through Saturday, the theme of collaboration for mutual development has been further emphasized.
One of the predominant features of this year's event is that many companies, domestic and foreign, are joining hands to display together, offering attendees a unique experience and enhanced understanding of the complex and interconnected modern supply chain and value chain.
As the world's first national-level exhibition focusing on supply chains, the CISCE features six major industrial chains, namely advanced manufacturing chain, clean energy chain, smart vehicle chain, digital technology chain, healthy life chain, and green agriculture chain, and includes a dedicated area for supply chain services.
At one booth, British-Australian multinational mining company Rio Tinto, Shanghai-headquartered China Baowu Steel Group, German engineering giant Bosch, and Chinese electric vehicle maker XPENG collaborated to share a joint exhibition space - a unique approach compared to the traditional practice of individual booths at trade shows.
A view of an exhibition area showcasing advanced manufacturing chain at the CISCE II on November 26, 2024 Photo: Chen Tao/GT
Putting on joint displays
Rio Tinto extracts the raw materials. Baowu Steel processes the materials into steel. Bosch machines that steel into auto parts, with which XPENG assembles into its EVs and flying cars.
"The idea came to us naturally, why we, as close partners across the supply chain, wouldn't join forces at the expo to showcase our integrated collaboration?" a staffer at XPENG told the Global Times on Wednesday.
"Beyond simple transactions, we also engage in joint research and development projects and collaborative innovation with our partners," the person said.
In the exhibition area for the digital technology chain, the Global Times observed that the US technology giant Apple Inc has brought four of its Chinese suppliers - Goertek, YUTO, Crystal Optoelectronics, and LY iTECH - to the expo.
Apple CEO Tim Cook toured the booth on November 25, one day before the CISCE opened, and praised Apple's Chinese supply chain partners, noting that "we could not do what we do without them."
The four suppliers showcased their production facilities and models to the expo, highlighting their capabilities in automation and green manufacturing. Their products include packaging, phone cases, batteries and optical components, covering a wide range of components for Apple's various products.
An information board at the booth said that "over 80 percent of Apple's 200 major suppliers manufacture in China" and "in the past five years, Apple has invested over $20 billion in smart manufacturing and green manufacturing in China."
The "joining of hands" is also evident among exhibitors in the agricultural supply chain, which is among the most complex supply chains in the world.
McDonald's China, which attended the expo for the first time, unveiled its "One Case, One Code" (OCOC) project in collaboration with its supply chain partners. OCOC uses Internet of Things technologies (IoT) to give each product package a unique digital identity.
The project, which gives each product package a unique digital identity such as New Havi, Bimbo and Tyson, has been implemented in a number of upstream factories, logistics centers, and restaurants across multiple locations and the company has a plan to include over 100 supplier factories.
Phyllis Cheung, CEO of McDonald's China, stated in a note sent to the Global Times that the event offers an excellent platform to deepen exchanges with their supply chain partners to enhance service for "customers with fresh, natural, and trusted ingredients."
Dairy giant Fonterra, New Zealand's largest company, joined hands with Fujian-based Xiamen C&D Inc to showcase how dairy products are transported from New Zealand pasture to Chinese dinner table using low-emission and sustainable practices like paperless customs clearance and eco-friendly warehousing.
Teh-han Chow, Greater China CEO with Fonterra, told the Global Times that the company has seen significant growth thanks to China's open market for nearly half a century and looks forward to achieving even higher growth by deepening cross border supply chain cooperation with Chinese partners.
Closer collaboration called
Attendees at the supply chain expo emphasized that the global economic landscape should focus on one where partners seek common growth and a shared future through collaboration and resolutely oppose "decoupling and breaking chains."
"We hear terms like the end of globalization, decoupling, high fences and small gardens," but in the end the world needs a functioning and inclusive trading system for the benefits of all businesses and individuals, John Denton, the secretary-general of the International Chamber of Commerce, said in his speech at the opening ceremony of the 2nd CISCE on Tuesday.
China Council for the Promotion of International Trade (CCPIT) Chairman Ren Hongbin told reporters that "the CISCE, the world's first expo dedicated to fostering supply chain cooperation, has gained increasing global recognition.
"I believe that hosting the CISCE truly reflects China's confidence in opening up to the world. From trade fairs in goods and commodities in the beginning, to the China International Fair for Trade in Services (CIFTIS) held in Beijing that promote trade in the services sector, and now to the most advanced collaborations in industries and technologies, innovative partnerships," Ren said. "The fact that Chinese people are willing to present entire industry chains for international cooperation is our greatest confidence and assurance."
"So, the CISCE is more than just an expo," said Ren.
Huo Jianguo, a vice chairman of the China Society for World Trade Organization Studies in Beijing, told the Global Times on Thursday that multinational companies attend the supply chain expo primarily to explore cooperation opportunities. At the same time, as Chinese companies aim to further optimize their supply chain, they could learn from many MNCs as they have pioneered in global supply chain cooperation.