Vietnam's refrigeration and air conditioning equipment has huge market demand

    Vietnam, on behalf of the entire Southeast Asia region, located in the tropics, has hot and humid climate. There is a huge demand for HVAC equipment. The biennial Vietnam HVACR exhibition has become the focus of attention.

Before the HVACR/PS Vietnam exhibition

Beijing is still cold.When we arrived in Hi Chi Ming city, the heat wave rushed to our face, and we took of our coat, put it down. We took a taxi and walked a small distance to the hotel. When we reached there, we had already sweat cats and dogs. And we turned on the AC. The world was cooled down.

 

For the next three days we were in HVACR Vietnam Exhibition. And this is the first time I came to Vietnam and visit the show. I expected to see small familiar brand such as Daikin、Samsung、LG、Midea, but I see no one of them. Vietnam is a country of 95 million people and this is only HVACR exhibition in the entire country, and only once in two years. And none of well-known home ac company exhibit. And I paid special attention of the local home ac companies and I found none.

 Market of Vietnam

Vietnam’s problem is not only Vietnam’s problem. You can unlock massive potential if you see the problem clearly. 

Vietnam is representing the whole Southeast Asia region with a population of 625 million. When the world is suffering from the economic crisis, the Southeast Asia region is developing fast, with lost of building under construction, hot and humid weather in need of HVACR equipments.  I wonder the market for HVACR in the region is even bigger than China, because large part of China is not so hot as these countries in the region.

Global economy has not recovered from the economic crisis and America’s Trump is speaking against globalization and free trade. I think, the Southeast Asia’s market is an opportunity that Chinese HVACR companies cannot miss. 

 Exhibition is going on

The 11th edition of HVACR/PS Vietnam opens on 29th, March. Deputy Minister of the industry and trade department, vice minister of transport department, vice minister of commerce department, minister of investment promotion department of Vietnam, etc. participate in the opening ceremony.

 

Finally, Mr. Chek wishes all exhibitors to find their own business opportunities. Vice Minister of Commerce department of Vietnam wishes HVACR/PS to be a successful exhibition.

HVACR/PS Vietnam is the only refrigeration related exhibition in Vietnam, held once every two years. Vietnam has a large population of 95 million, and the economy is developing rapidly. Located in the tropics, with humid and hot climate, Vietnam’s refrigeration and air conditioning equipment market has a huge demand. This year, more than 30 Chinese exhibitors attend this exhibition, occupying half of the entire exhibition hall. We can see that they value the Vietnam market highly.

 Photo report

The Chinese exhibitors are mostly small and medium enterprises in spare parts, and only few of them decorate their booth specially. Tica makes me a great impression.

GREE and Midea’s AC are well known in China, but Tica is very professional in the clean environment integrated solutions. Its air handling units owns higher sales in 6 consecutive years.

 

TICA’s leader, Zhou Guoqing, accepts the interview of David Wen from Coowor. He said, this is the first time for Tica to participate in HVACR/PS Vietnam. He is very optimistic about the Vietnam market because of the rapid development of economy, population and the hot climate. Therefore Vietnam has a huge demand for natural air conditioning and refrigeration equipment.

 

This time TICA mainly push the commercial air conditioning equipment.

From my personal judgment, although the Vietnam’s economy develops highly, but the per capita GDP is still in very low level, just over $ 2000. It is difficult to spread a large number of civil air conditioning in a short time. But for business occasions air conditioning equipment, if you can provide high quality and cost-effective products, you will win.

 

Kingair is also one of the few special decorated exhibitors in HVACR/PS Vietnam. The commercial air conditioning equipment they brought owns many concerns. There are buyers come to discuss cooperation with them.

 

 Summary of HVACR Vietnam Exhibition.

The exhibition has concluded several days.

In order for our member companies to make better decisions, we has made a general evaluation of the exhibition. 

According to general manager of Beijing Worlead International Exhibitions, Mr Lv, many Chinese HVACR companies took a very prosperous prospect on Vietnam market and they wanted to take a booth in this exhibition but found it very hard. Because all the booth were already taken. 

HVACR Vietnam was held concurrently with INMEX Vietnam. HVACR took about 400 sqm, but Chinese companies took 196 sqm, nearly half of the entire HVACR space.

As you know, many Chinese did not find a spot to exhibit, and they chose to come and visit.

We also interviewed some exhibitors who joined last HVACR Vietnam exhibition. They are not pleased with the results. They say the visitors were few. And they got even fewer real customers. But we came to know that the organizer has replaced the manager for last HVACR Vietnam. So, from what we know, the outcome is much better this time.

We interviewed some of the exhibitors. About 1/5 was pleased with the results, they got many promising leads. 3/5 said they got some leads but not met their expectation.

The HVACR Vietnam is make progress under new leadership, we can hope that our exhibitors will reap great reward next time.