Hong Kong, November 2012

Final Report Water Expo China + Water Membrane China China National Convention Center, Beijing, China 29 – 31 October 2012

Water Expo China + Water Membrane China sets new record prompted by government’s desire to improve China’s water industry Exhibitors find a receptive market and plenty of opportunities Visitors look for the latest technology and seek out business opportunities 7th China International Water Business Summit and other conferences attract high quality industry people Business match-making forum is a huge success Water Expo China + Water Membrane China broke its previous record for exhibitor and visitor attendance when it was held 29 – 31 October 2012 at the China National Convention Center in Beijing, China. A new record of 398 exhibitors, from 21 countries and regions, a 21 percent increase compared to the 2011 figures, including national groups and pavilions from Austria, Germany, Korea and Taiwan region, was set at this year’s 22,000 sqm show. The visitor number was 23,816 from 36 countries and regions, boosted by 50 domestic and international delegations and was a 29 percent increase compared to 2011 figures. Domestic visitors numbered 20,671 and overseas visitors numbered 3,145.

Penny Troon Tel +852 2238 9930 Fax +852 2519 8632 [email protected] www.messefrankfurt.com.hk www.waterexpochina.com WEC12_FR.doc

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012

Water Expo China + Water Membrane China was opened by Mr Li Guoying, Vice Minister of the Ministry of Water Resources. Also taking part in the opening ceremony were government officials and representatives from the show organisers as well as co-operating and supporting associations, organisations and companies. The three-day show was organised by Messe Frankfurt (Shanghai) Co Ltd, the Chinese Hydraulic Engineering Society and the Membrane Industry Association of China. China’s first water business event is approved by China’s Ministry of Commerce and Ministry of Science and Technology, and sponsored by the Ministry of Water Resources. Commenting on the show, Mr Jason Cao, Senior General Manager of Messe Frankfurt (HK) Ltd said: “An increasing number of domestic and international exhibitors are seeing many business opportunities arising from the Chinese government’s commitment to water improvement, and that these opportunities can be explored further at Water Expo China + Water Membrane China by meeting key government decision makers. This is one of the reasons why our exhibitor numbers continue to increase each year.” Exhibitors find a receptive market and plenty of opportunities This year’s show continued to attract exhibitors who had experienced business success at our previous shows such as Beijing Capital Co Ltd, a major water company involved with investment, construction, operation and management of wastewater treatment plants in China. Company representative Mr Ma Yanxin said: “The show is an effective platform for the industry because there are many big brands here and next year we plan to have a bigger booth to display different products.” Mr Tan Zhengning, Marketing Manager for Chinese company Beijing Tengine Innovation Instruments Co Ltd, a measuring instruments company added: “We always exhibit here because it is an industry recognised show. The scale is big, and the organiser is

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 professional. We want to build brand awareness at the show, since the company is still relatively new to the industry. We are satisfied with the show and will exhibit here again next year.” Another exhibitor who has experienced positive results at earlier shows was US company Xylem, separated from ITT company’s water related business in 2011, and a participant since 2008. The company is a leading global water technology provider, enabling customers to transport, treat, test and efficiently use water in a number of different industries. Mr David Meng, Xylem’s Marketing Manager said: “It’s a big trade show for the industry as all industry people are here. Together with the professional forums, we can gain information to plan for our upcoming business plan.” Mr Zhou Liang, Sales Manger for Hebei Yisheng Environmental Protection Science and Technology Co Ltd, a water treatment solution provider with outstanding achievements in China remarked: “We are busy during the three-day show and got a confirmed purchasing order just before leaving Beijing. I never expected business to be so fast.” Second time exhibitor Chinese company Xinxing Ductile Iron Pipes Co Ltd, attended the show to meet with government related representatives from various provinces and cities. Commenting on the show Mr Yu Jianjun from the company’s Beijing Sales Branch said: “The platform provided by the organiser is good, which is better than other shows, and the exhibiting arrangement is clear.” Also participating at Water Expo China + Water Membrane China were national groups and pavilions from Austria, Germany, Korea and Taiwan region. Companies taking part in the Austrian Pavilion were Andriz (China) Ltd, Anton Paar China, Röhren- und Pumpenwerk BAUER Gesellschaftm.b.H. and s::can Messtechnik GmbH.

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 The Bavarian Pavilion from Germany was organised for the first time by the Bavarian Ministry of Economic Affairs, Infrastructure, Transport and Technology, in cooperation with BAYERN INTERNATIONAL – Bavarian Bureau for International Business Relations and BIHK - Association of the Bavarian Chambers of Industry and Commerce. Participating companies were AKW A+V Protec GmbH, atex Umwelttechnik GmbH & Co KG, Grünbeck Wasseraufbereitung GmbH, Jäger Umwelt-Technik GmbH & Co KG and Sikotec GmbH. Commenting on the exhibition, Dr Karl Bleicher from wastewater company AKW A+V Protec said: “We are very convinced about this fair as we had very good visitors who were top level decision makers and consultants. Mr Patrick Bachelart, from Grüenbeck Wasseraufbereitung agreed. “We have seen a good selection of people, some are specialists and all are completely involved in the water business,” he remarked. In addition, six companies participated in the Taiwan Region Pavilion organised by the Taiwan Drinking Water Equipment Association (TDWEA). These companies were Easywell Water Systems Inc, Goldstar Carbon Tech Inc, Hwa Chih Technology Co Ltd, Ming Fung Nano-Biotechnology Co Ltd, The East Chain Hardware International Ltd and Wee Sheng Co Ltd. Mr Rodger Lin, the General Manager of Easywell Water Systems Inc, a drinking water equipment expert, said:” We met quite a lot of serious buyers during show, which is beyond our expectation.” Another first time individual Taiwanese pump manufacturer sees from the show that the Chinese water marketing is booming. Mr Dean Change of East Chain Hardware International Ltd explained: “The market for water equipment, pump, vale and pipeline is booming. I see a bright prospect for the water industry. I’m pleased that 70 percent of the visitors who came to us were interested in our products, especially late-model high-pressure pump products.”

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 Companies participating in the International Pavilion were Aquaporin A/S, Polyglu International Co Ltd, Nafigate Corporation, Rubicon Water (China) and Straub Werke AG. Nafigate Corporation from the Czech Republic was displaying a new nanofibrous lightweight and durable membrane which aroused much interest. Ms Lenka Mynarova, a member of Nafigate’s board said: “We are a centre of excellence for nanofibres for microfiltration. We had hundreds and hundreds of visitors each day so from my point of view the show is a great success. The China water market is one of the biggest in the world and we bring a totally new technology because nanofibres in water filtration are only a starting point of usage and the Chinese market wants our high-tech products.” Ms Sophia Zhao, the Marketing Communications Manager for Rubicon Water (China), specialising in irrigation, added: “We feel it is good to be here as the quality of visitors is good and many big brands are here. It’s a good platform for the industry to network and exchange information with each other.” Visitors look for the latest technology and seek out business opportunities This year’s show attracted more than 50 domestic and international visitor delegations. Chinese visitor Mr Chen Weiwen, Deputy General Manager, Beijing Filcore Membrane Technologies Co Ltd said: “I am visiting to see new technology and I found more than I expected. This show can definitely help the industry and it groups industry people together so we have the chance to network. The show is growing bigger and is high quality.” First time visitor Mr Chen Hao, Commercial Representative, IEZP Operation and Management Co Ltd, China added: “I’m planning to exhibit at the show next year with our water treatment products. I saw a good quantity and quality exhibitors here and found many

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 products and useful services. China’s water treatment market has excellent prospects, which is reflected by the show.” International visitors were looking for a variety of products and were impressed by the show’s organisation and high standards. Mr Ken Chan, Founder and Chief Executive Officer of Global Green Partnerships, Australia added: “I came to the show to see what products address water security because I do projects in climate change and renewable energy in Australia, Europe and the US. It’s good for me to get an overview of the Chinese market.” Indian visitor Mr Satish Chilekar, a Water Management Advisor, was interested in new products. He remarked: “I think the show is very good because I see big companies and small companies with new products and it shows us the systems and competence which we can import to India.” 7th China International Water Business Summit and other conferences attract high quality industry people Running concurrently with Water Expo China + Water Membrane China was the 7th China International Water Business Summit attended by a capacity audience who listened to domestic and international experts address the challenges ahead for China’s water industry. Topics included: • • • •

New water resources, framework and market opportunity Industrial policy interpretation and industrial market prospects New market opportunity – finding new water resources International water industry experience

Other symposium conferences that took place included: • •

Shijiazhuang Society for Environmental Sciences Communication Meeting Membrane Technology Exchange Conference

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 • • • •

The 6th comprehensive management of urban rivers and lakes forum Water Quality Monitoring Technology and Management Forum 2012 Advanced Technology of Pumps and Valves Communication Meeting International water and waste water treatment technology and equipment communication meeting

On the evening of 29 October, the annual Aqua Star Awards were presented at a special award dinner. These highly respected awards with high government recognition, honour the best water companies in China in the following categories: • • • •

The Flagship Water Enterprise 2012 The Professional Water Brand 2012 The Most Growing Water Enterprise 2012 The Best Consulting Service Enterprise 2012

Commenting on the summit, Mr Li ZanTang, Secretary General of CHES said: “To promote innovation and create good conditions for improving China’s water business and to better share sustainable development best practices and integrate resources to meet challenges and build an information sharing platform, the summit focused on several topics. These were new markets and new water resources as well as new government policies to encourage water investment. We had dialogue, presentations and discussions which created a very good platform for government to talk to business.” Mr You Jinde, Secretary General of MIAC added: “Our symposium called the Membrane Technology Exchange Conference was very well attended. It was an important event for our association members because it brought together a wealth of industry knowledge as well as highlighting latest membrane technology from reverse osmosois membranes to the new generation ultrafiltration membranes and nanofiltration membranes.”

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 Business matchmaking forum is a huge success Water Expo China + Water Membrane China organised 40 conference sessions and business events and one of the unique and important business events was the International Matchmaking Event. This round table event helped exhibitors to meet potential business partners by introducing them to professionals from different water industry segments to help increase their understanding of the opportunities available in China’s diverse water market. Fellow Bavarian pavilion exhibitor Sikotec was also impressed. Ms Ulrike Schmidt commented: “This is our first show visit as we want to know, if our synthetic resin used in sewer pipe spot repair, would be useful and welcomed in China. The matchmaking forum allowed me to talk with six Chinese industry experts, and they gave me useful information and I now understand the industry better.” One of the participating invited experts and buyers was Mr Yang Chenghua, General Manager, Beijing Waterworks Group Datong Water Supply Technology Company and he remarked: “The form of the meeting is excellent. I see an outstanding result as the meeting helped overseas companies to gain a firm foothold in China market.” The next Water Expo China + Water Membrane China will be held 2 – 4 December 2013 at the China National Convention Center, Beijing, China. For more information about Water Expo China + Water Membrane China, please visit www.waterexpochina.com or email Ms Rebecca Zheng at [email protected]. - end -

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Water Expo China + Water Membrane China Beijing, China, 29 – 31 October 2012 Background information on Messe Frankfurt Messe Frankfurt is Germany’s leading trade fair organiser, with 467.5 million euros in sales and 1,725 active employees worldwide. The Messe Frankfurt Group has a global network of 28 subsidiaries and approx. 50 international Sales Partners, giving it a presence for its customers in more than 150 countries. Events “made by Messe Frankfurt” take place at more than 30 locations around the globe. In 2011, Messe Frankfurt organised 100 trade fairs, of which more than half took place outside Germany. Messe Frankfurt’s exhibition grounds, featuring 578,000 square metres, are currently home to ten exhibition halls and an adjacent Congress Center. The company is publicly owned, with the City of Frankfurt holding 60 percent and the State of Hesse 40 percent. For more information, please visit our website at: www.messefrankfurt.com Background information on the Chinese Hydraulic Engineering Society The Chinese Hydraulic Engineering Society (CHES), founded in 1931, is an academic organisation of Chinese Hydraulic Engineering professionals, affiliated with the China Association for Science and Technology. A comprehensive organisation, CHES has 100,000 individual members, 41 special commissions, nine working committees, 60 group members, and 31 local (provincial level) hydraulic engineering societies. It has become a significant force for China’s water resources science and technology development. CHES’s trade promotion arm, Beijing JiangHe BoHua Exhibition Co., has organised Water Expo China successfully every year from 1989 to 2007, and has built up close relationships with many associations, government organisations and manufacturers / companies in the water industry in China. Background information on the Membrane Industry Association of China The Membrane Industry Association of China (MIAC) is a state-level industrial society was established in 1995 by the former Ministry of Chemical Industry, the Chinese Academy of Science and the State Oceanic Administration and registered with the Ministry of Civil Affairs. Representing professional and commercial entities in China’s membrane separation field, MIAC is a non-profit non-governmental organisation that operates under the State-owned Assets Supervision and Administration Commission of the State Council. It is committed to protecting the legitimate interests of its members, the implementation of relevant policies and regulations in China, exchange and collaboration of the membrane industry in China and overseas, strengthening research and development in engineering and technology as well as promoting membrane industry development. MIAC has more than 400 members, most of whom are professional and commercial entities in scientific research, design, production, engineering and trading in the membrane industry. MIAC is also focused on early-stage evaluation of major membrane projects as entrusted by government departments and relevant companies.