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China-South Asia Expo unlock new frontiers of regional trade

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As the 9th China-South Asia Expo concludes in Kunming, the capital of southwest China’s Yunnan Province, its scale, spirit and strategic significance speak volumes about the evolving trade dynamics between China and the South Asian region. Drawing participation from 73 countries, regions and international organizations and welcoming over 2,500 enterprises, the expo has emerged as a vibrant platform fostering regional integration, commercial collaboration and mutual growth.

Since its inaugural edition in 2013 coinciding with the launch of the Belt and Road Initiative (BRI), the China-South Asia Expo has evolved into a cornerstone event in promoting multilateral trade. Over the past decade, it has facilitated over 110 billion U.S. dollars in foreign trade transactions and provided business access to more than 20,000 enterprises, reflecting both its tangible impact and growing strategic relevance.

Trade between China and South Asian countries reached nearly 200 billion U.S. dollars in 2024, more than double the trade volume a decade ago. This impressive trajectory, with a consistent annual growth rate of 6.3 percent, illustrates the resilience and potential of this bilateral partnership. It also reflects China’s continued commitment to high-level opening-up and high-quality development, particularly as it advances towards Chinese modernization with a global cooperative lens.

The growing trade links have not only boosted volume but have also deepened sectoral diversification. At this year’s expo, nearly 70 percent of exhibition space was dedicated to professional sectors including manufacturing, green energy, coffee, artificial intelligence and traditional Chinese medicine. This is not just a trade show, it is a forward-looking economic ecosystem in action.

The participation of all South and Southeast Asian nations with the addition of two South Asia-themed pavilions and nearly 800 booths signal a rising recognition of the expo’s strategic value. Notably, Pakistan alone hosted 140 booths demonstrating its strong trade ambitions and the rich cultural and commercial tapestry it brings to China’s marketplace.

South Asian countries such as India, Bangladesh, Sri Lanka, Nepal, Bhutan, Maldives and Afghanistan are leveraging the expo to showcase their textiles, handicrafts, agriculture products, herbal remedies and tourism offerings. These products align well with Chinese market preferences, particularly amid a growing appetite for authentic, culturally rich and sustainable imports.

The significance of trade between China and South Asia goes beyond mere economic figures. It impacts millions of small businesses, farmers and artisans in the region. Increased exports mean higher income, greater employment and enhanced regional connectivity. The expo, through nearly 40 trade and economic events including procurement matchmaking and investment forums opens doors for direct engagement between Chinese buyers and South Asian suppliers.

The success of these interactions is reflected in numerous agreements and MOUs signed during the event covering areas such as e-commerce, logistics, green infrastructure and biomedicine. These are not just contracts, they are the seeds of long-term economic partnerships that drive sustainable development.

China’s status as the world’s second-largest economy and one of the biggest importers presents immense opportunities for South Asian exporters. With a rapidly expanding middle class, a shift toward consumption-driven growth and an increasing demand for organic, ethnic and niche products, South Asian economies are uniquely positioned to benefit.

For example, Bangladeshi garments, Sri Lankan tea, Nepali handicrafts, Pakistani fruits and Indian spices are already making inroads into Chinese markets. The China-South Asia Expo provides an excellent gateway for micro, small and medium-sized enterprises (MSMEs) in these countries to showcase their offerings, secure buyers and build brand recognition.

While traditional sectors remain important, the expo also highlights a new frontier emerging industries. China’s readiness to expand collaboration in the digital economy, low-carbon development, artificial intelligence and biotechnology is timely. These areas align with South Asia’s growing tech ecosystem and its aspirations to modernize industries and public services.

Joint innovation labs, cross-border tech incubators and academic exchanges in digital medicine, agri-tech and environmental sustainability can further enrich bilateral collaboration. Through capacity-building and co-development, these partnerships can uplift both economic structures and human capital across the region.

Kunming’s geographic position makes it a natural hub for promoting China’s western development and fostering trade with South and Southeast Asia. As the BRI continues to unfold, infrastructure such as rail links, expressways and cross-border e-commerce logistics originating in Yunnan are set to redefine regional trade corridors. This facilitates faster, more reliable movement of goods and people boosting the role of border provinces like Yunnan as platforms for global engagement.

For South Asia, proximity to Kunming opens the door to cost-effective export strategies, greater access to interior Chinese markets and more efficient trade linkages especially for landlocked countries like Nepal and Bhutan.

The 9th China-South Asia Expo is not just a ceremonial gathering, it is a powerful manifestation of regional interdependence, built on the principles of mutual benefit, openness and shared prosperity. As South Asia grapples with challenges like inflation, climate change, and infrastructure gaps, stronger trade with China offers a pathway to stability and inclusive growth.

With continuous institutional support, transparent business practices and cultural exchange, China and South Asian nations are poised to deepen ties further. From tangible trade gains to intangible goodwill, the journey ahead is full of promise.

The message from Kunming is clear that when neighbors trade, people thrive.

  • The author is the Editor China Desk at "Internews Pakistan" as well as a media fellow of China International Press Communication Center.

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