Chapter 7
Background Information

Annex Exhibition Halls: Classification, Floor Plans, and Cost Evaluation

It is the solemn promise of the Chinese government to the international community that the Shanghai World Expo will be a successful, splendid, and unforgettable one. This will also be the main working objective of the organizer—Shanghai city—for the next five years. In order to attract more countries and international organizations to participate in the expo, and to provide a good exhibition platform for exhibitors, the Central Government and the Shanghai Municipal Government will provide exhibitors with a sound hardware and software environment. The Chinese government will adopt a series of preferential measures in customs duties and revenue toward participating countries. Special funds will also be allocated to assist developing countries, so that they can take part in the exhibition free from worries. The residents of Shanghai, as well as people from all over the country, are looking forward to this grand expo. They have signed up enthusiastically to become volunteers for the World Expo.

The commitment made by the Chinese government to provide financial support for developing countries is worthy of mention. Hosting the first World Expo in a developing country, the organizer fully understands that the participation of developing countries will play a significant role in enhancing the internationalization and representativeness of the Shanghai World Expo. To encourage the participation of developing countries and enhance the quality of their participation, the organizer will honor its promise made during its bidding by providing a total of US$100 million assistance funds to developing countries. This was also specified in a resolution passed at the 115th Plenary Session of the BIE on June 8, 1994.

All developing countries that fulfill the following requirements in one of two categories will be eligible to apply for assistance from the organizer:

Category 1: Least Developed Countries (LDCs) as specified in the Report for Least Developed Countries 2004 passed at the UN Conference on Trade and Development (UNCTAD), or Low Income Countries (LICs) with per capita national income equal to or less than US$825, according to the World Development Index 2004 of the World Bank.

Category 2: Lower-Middle-Income Countries (LMICs) with per capita national income ranging from US$826 to US$3,255, according to the World Development Index 2004 of the World Bank.

The assistance funds will be used to cover the exhibition design consultancy fees of participating countries; the costs for exhibition hall design, decoration, and disassembling; operating costs (cleaning, security, water and electricity, facility lease, and so on) for exhibition halls; fees for the clearance, transportation, storage, and insurance of exhibits; expenses incurred for the organization of relevant activities (such as activities for the Day of Halls); communication-and publicity-related costs in China; the expenses for VIPs and their spouses from participating countries to come to Shanghai for relevant activities; part of the expenses for correspondents in Shanghai; costs for training workers in exhibition hall operation; and costs (including the service charges for local service personnel) incurred for the exhibition arrangement and working personnel during the exhibition period.

All developing countries which are eligible and have submitted applications will obtain basic assistance from the organizer. The basic assistance will be mainly used for the exhibition design consultancy fees of participating countries, and expenses incurred during the preparation and exhibition (including the service charges for local service personnel).

Assistance for other projects will be determined through friendly negotiation between the organizer and participating countries, based on the exhibition plans and assistance applications submitted. Apart from providing assistance for developing countries, the Chinese government will also conduct negotiations with relevant parties, and work together with them to minimize relevant exhibition costs and expenses as far as possible.

The Shanghai World Expo is expected to attract the participation of about 200 countries and international organizations, as well as 70 million visitors. On December 1, 2005, during the 138th Congress of Member Countries of the Bureau of International Expositions (BIE), the registration report of the Shanghai World Expo was passed. On March 22, 2006, the letters of invitation to the Shanghai World Expo personally signed by Premier Wen Jiabao were officially delivered, marking the beginning of international invitations for participation. Through diplomatic channels, the Chinese government sent formal invitations to every potential governmental participant (including sovereign countries and inter-governmental organizations). The international community responded positively to the invitations. By April 23, 2006, the confirmed participating countries and international organizations included France, Ukraine, Bahrain, Mali, Cambodia, Canada, Mauritania, Algeria, Congo, Hungary, Switzerland, New Zealand, Cuba, and the Secretariat of Convention on Biological Diversity.

At the same time, the organizer will also extend direct invitations to non-governmental organizations (NGOs), non-profit organizations (NPOs), enterprises, amongst others. Although enterprises are non-governmental participants, the organizer suggested that these exhibitors inform their governments of their intention to attend the Shanghai Expo. In the first round of invitations, the organizer will send formal invitations to all UN member countries and major international organizations (especially those organizations whose missions are closely related to the theme of the 2010 World Expo). At the same time, the organizer will, on the basis of bilateral negotiations, send out invitations to specific NGOs, NPOs, and enterprises.

Invited governmental exhibitors should confirm their intentions to participate in the World Expo through diplomatic channels. Invited non-governmental exhibitors should directly confirm their intention to participate. The organizer will publish in time a Guide for Exhibition Participation to help potential exhibitors in their decision-making. The guide can also serve as the basis for negotiation between potential exhibitors and the organizer.

Upon confirming the intention to take part in the expo, the exhibitor must submit to the organizer a copy of Theme Statement and a copy of Exhibition Items. Upon receipt and approval of the Theme Statement, the organizer will assign a site for construction or exhibition space to the exhibitor in light of its formal application and other considerations.

During the 2010 Shanghai World Expo, the National Halls for foreign countries will be allocated and arranged by the geographical locations of their continents of origin. There will be three types from which exhibitors can chose. However, the National Halls shall be temporary buildings:

The construction sites provided for governmental exhibitors are empty plots of land, provided free. Each basic unit at the construction site will be 500 square meters. A governmental exhibitor can apply for two to 12 units, i.e., an area ranging from 1,000 square meters to 6,000 square meters. The designed plot ratio for the exhibition hall (i.e., the ratio between the total floor area and the construction site) should not exceed 1:1. The organizer will discuss specific design plans separately with exhibitors who wish to increase the plot ratio. In principle, the height of self-constructed halls should not exceed 20 meters. The design of partitions shall be determined by the exhibitors according to their exhibition needs. The building coverage (i.e., the ratio between the construction area of the exhibition hall and the construction site) should be limited to 60–80%.

The organizer will officially hand over the construction sites for independent exhibition halls to the exhibitors on November 1, 2007, while the exhibitors must submit their formal application documents for the construction site 30 months before the opening of the World Expo. The exhibitors must restore the sites to their original form and return them to the organizer by May 1, 2011.

Exhibitors who do not wish to self-construct the exhibition halls can lease independent exhibition halls from the organizer. There are three kinds of halls from which exhibitors can choose: one unit (floor area of 500 square meters), two units (1,000 square meters), and four units (2,000 square meters). Exhibitors will also be allocated an outdoor public space equivalent to 8% of the floor areas of their leased exhibition halls.

Exhibitors wishing to lease exhibition halls must submit formal application documents to the organizer 30 months before the World Expo opens on November 1, 2007. The organizer will hand over the leased halls to the exhibitors before May 1, 2009. Exhibitors must remove their exhibits by December 31, 2010, and return the halls to the organizer.

As part of the preferential treatment for developing countries, the exhibition space in the joint halls built by the organizer will be provided free to developing countries. Each exhibition unit covers an exhibition area of 324 square meters. In principle, the organizer will provide only one exhibition unit for each developing country. However, each developing country can use up to two exhibition units, i.e., 648 square meters of indoor exhibition space. In the event that the exhibitor requires two exhibition units, a special application must be submitted. The organizer will consider the exhibition plan and the actual utilization of exhibition space by the exhibitors, before making the final decision on whether to approve or reject the application. The organizer can also provide exhibitors with limited outdoor exhibition space.

Exhibitors who wish to use Type C exhibition halls must submit formal application documents to the organizer 30 months before the official opening of the World Expo (i.e., before November 1, 2007). The organizer will provide exhibitors with exhibition space in the joint exhibition halls before May 1, 2009. Exhibitors must remove their exhibits by December 31, 2010, and return the space to the organizer.

After the exhibition halls have been confirmed, the next step is to confirm the exhibition costs required for participating in the 2010 World Expo. The exhibition costs consist mainly of three parts: the costs of hall construction (or rental), exhibition decoration, and operation. The following cost estimations are based on the current expenditure situation in Shanghai.

The cost of hall construction includes fees for construction, equipment installation, exterior decoration, secondary renovation, early stage management, design, construction supervision, and taxes. See Annex Exhibition Halls: Classification, Floor Plans, and Cost Evaluation for the costs of construction of exhibition halls of various sizes.

For the exhibition halls constructed by participating countries, the organizer will guarantee that infrastructure is provided prior to construction. The infrastructure includes road access, power, and water. In addition, the site will be leveled, old buildings and debris will also be removed (including foundations). Temporary water and power supply, certificates, as well as other conditions required by site construction, will also be provided. Prior to the completion of the construction work, the following will be made accessible: road, power, water, sewerage, communications, cable TV, and natural gas. The site should also be leveled. Basic data with regards to land property, general graph, topographical map, site location (red-line scope and positioning), site elevation, a detailed engineering geological prospecting report and weather data, as well as translations of relevant materials and electronic documents, will be provided free to exhibitors.

The organizer will construct independent exhibition halls for leasing at a rate based on floor area. For exhibition halls with floor areas ranging from 500 to 1,000 square meters, the unit rental will be RMB 4,100 per square meter. For a floor area of 2,000 square meters, the rental will be RMB 3,900 per square meter. According to the regulations of the BIE and the practice of the past World Expos, BIE member countries will all enjoy a 15% rental discount, but this does not apply to non-member countries. The organizer will provide developing countries with free exhibition space in the joint exhibition halls.

With regards to the leased halls and joint halls, the organizer guarantees that the civil construction, facility installation, renovation (note: no renovation will be carried out on inner and outer walls, meaning there will be no ceiling and the floor will be cement), and basic lighting will be completed by the time exhibitors begin decorating their exhibition halls. In addition, water, power, natural gas, TV, and telephone will be connected to the uniform interfaces of each exhibition space in the leased independent halls and joint halls. Cleaning up of both the inside and outside of the buildings will also be completed, and all facilities will be in good working order. Meanwhile, the organizer will provide exhibitors with basic data for free. They include data on hall locations, technical data of the exhibition halls, and the outdoor sites.

The cost of exhibition hall decoration covers exhibition design and planning, software and film production, internal erection, dismantling, and purchase of exhibition equipment, such as screens, projection equipment, supporting structures, TVs, and so on. According to preliminary estimations, the recommended exhibition cost for governmental exhibitors averages RMB 10,000 per square meter (US$1,200 per square meter).

The operating cost includes fees for operating the exhibition halls, such as salaries, accommodation, food and beverages, energy, water supply, insurance, maintenance, transportation, office furniture, and facilities, as well as the expenses for various activities to be held during the World Expo. According to preliminary estimations, the recommended operating cost for governmental exhibitors will average RMB 8,500 per square meter (US$1,020 per square meter).

According to the prevailing price levels in Shanghai as of August 2005, the following table can illustrate the basic price situation in Shanghai.

The organizer will also adopt a series of preferential measures to attract exhibitors. The Chinese government will formulate special policies in customs duties, domestic taxes, building, safety, and other relevant areas so as to provide convenience for exhibitors, as well as to protect their rights and interests. The Chinese government will abide by the regulations of the International Exposition Convention and the Custom Regulations on the Imports of Exhibitors at International Expositions to earnestly fulfill the commitments made during the bid for the World Expo. It will provide preferential treatment for the World Expo Organizing Committee, the Bureau of International Expositions, overseas exhibitors, and foreign workers in relation to custom taxes, commercial taxes, as well as foreign-related taxes.

The Chinese government has initially formulated preferential policies on customs and taxes. Governmental exhibitors who participate in the Shanghai World Expo will enjoy the following preferential treatments in customs taxes:

Exhibits and facilities that conform to the regulations of the Customs Annex will be treated as temporarily approved import goods. Goods that will be transported out of China at the end of the Shanghai World Expo will be exempted from customs duties and value added tax (VAT) on imports.

Building materials and fixed-installation facilities imported by exhibitors for the construction and decoration of exhibition halls in the World Expo Park will be exempted from customs duties and VAT on imports.

Non-trade documents related to the Shanghai World Expo or to be used within the Expo Park, which are imported by exhibitors into Shanghai, such as publicity materials and design drawings that will not enter China's domestic market and that are imported by exhibitors in reasonable quantity, will be exempted from customs duties and VAT on imports.

National works of art, traditional foodstuffs, and other items that need to be imported by exhibitors for use in exhibition activities during the World Expo, in reasonable quantity and within the scope of total value, will be exempted from customs duties and VAT on imports.

Governmental exhibitors and foreign workers who stay in the territory of China for not more than 183 days during the World Expo will be exempted from individual income tax on their wages and salaries.

Governmental exhibitors will enjoy the following free services in the World Expo Park during the World Expo:

Emergency services
The cleaning and maintenance of public space and greenbelts,
not including the area distributed to exhibitors as stipulated in
the “Contract for Exhibition Participation”
Signposts at the World Expo site
Information services for visitors
Safety services at the World Expo site
Guiding services for those who have lost their way
Lost and found
Lighting for the World Expo site

In hosting a grand event like the World Expo, volunteers play a vital part in the preparatory work. Volunteers for the 2010 Shanghai World Expo are divided into two groups, namely volunteers who will assist in the preparation, and volunteers who will assist during the expo. The first group of volunteers will be involved in publicity, promotion, environmental protection, organizing and designing activities during the expo preparation. Volunteers working during the expo will provide exposition services. During the World Expo, there will be approximately 30 types of positions requiring a large number of volunteers, including translators, receptionists, crowd controllers, medical firstaiders, transport assistants, supervisors and guides for good conduct and etiquette, information guides, tour guides, and shopping guides.

On July 28, 2004, Zhou Yupeng, Director of the Bureau of Shanghai World Expo Coordination, declared that the bureau would recruit the first batch of 20 volunteers. The basic requirements for volunteers are: having a passion for the World Expo projects and being willing to contribute to the 2010 World Expo; having a strong sense of responsibility and honor toward the job; possessing a strong learning ability; being ready to accept the guidance and assignment of the volunteer managing body; and abiding by regulations on expo volunteers.

Currently, the focus is on recruiting volunteers to assist in the World Expo preparation. The large-scale recruitment of volunteers is scheduled to begin in 2007 and 2008. The Bureau of Shanghai World Expo Coordination will, depending on the progress of preparation and hosting of the World Expo, publish the number and positions of volunteers wanted. It will also establish a volunteer database to facilitate the matching of volunteers with jobs.

Besides the recruitment work, the Bureau of Shanghai World Expo Coordination will also provide training for these volunteers. In February 2006, when Secretary-General Loscertales of the BIE paid a working visit to Shanghai, he devised volunteer training programs with the bureau. It is believed that volunteers will also be able to upgrade their own abilities while contributing their time and effort to the World Expo.

Two hundred countries and international organizations will participate in the 2010 World Expo, and there will be 70 million visitors during this half-year expo. Ten thousand volunteers will be needed daily to work at about 30 posts. Based on an average service duration of two-weeks per volunteer, approximately 130,000 volunteers will be required. To ensure that there will be sufficient volunteers, plans have been made for 400,000 volunteers to undergo training.

Since 2005, the city of Shanghai has been holding an annual World Expo English Contest for Shanghai Middle School Students. The final winners, selected from more than 10,000 candidates, will be awarded certificates issued by the Bureau of Shanghai World Expo Coordination. It is hoped that through this competition, more volunteers for the World Expo can be obtained. The contest is targeted at middle school students in various districts and counties of Shanghai who are approximately 16 years of age at the time of writing this book and will be studying in colleges and universities by 2010. The rigorous selection and training they go through will help cultivate a mature team of volunteers. The process of volunteer recruitment is divided into three parts: preliminary selection at the beginning of every year, second round of competition in January and February, and the finals at the end of April. Tens of thousands of applicants have signed up for the competition. The contest will continue until 2010.

Residents of Shanghai, as well as people from other provinces and cities, are also enthusiastic about volunteer work for the World Expo. Within ten days of the announcement of volunteer recruitment, 3,000 people were registered. People from Shanghai, from other provinces and cities, and even foreigners, as well as Chinese people residing in foreign countries, called in to enquire about the volunteer work. Shanghai primary school pupils have also taken the initiative to set up the World Expo Volunteers Club. A survey on the social participation of Shanghai youth reveals that 56.7% of students have been “actively registering and participating in the training.”

Be it on stage or backstage, the hosting of the 2010 Shanghai World Expo cannot do without the painstaking efforts and hard work of the organizer. With the joint efforts of the government and the people, the World Expo will become recognized and applauded by people from all over the world.

Annex Exhibition Halls: Classification, Floor Plans, and Cost Evaluation

Type A Exhibition Hall

Exhibition halls designed and constructed by exhibitors

Note: When the plot ratio is assumed to be 1, i.e., the exhibition hall construction area is equivalent to the land area allocated to the exhibitors, exhibitors will basically have the following two choices:

(1) Design and construct a single story exhibition hall that covers the entire land area;

(2) Design and construct a multi-story exhibition hall that covers part of the land area.

Figure 7.1 is an example of Option 2, as mentioned above. It is a plane layout of the ground floor of a multi-story exhibition hall, built on a land area of 2,000 square meters and a construction area of 2,000 square meters.

Note: When the plot ratio is assumed to be 1, i.e., the exhibition hall construction area is equivalent to the land area allocated to the exhibitors, exhibitors will basically have the following two choices:

(1) Design and construct a single story exhibition hall that covers the entire land area;

(2) Design and construct a multi-story exhibition hall that covers part of the land area.

Figure 7.2 is an example of Option 2, as mentioned above. It is a plane layout of the ground floor of a multi-story exhibition hall, built on land area of 6,000 square meters and a construction area of 6,000 square meters.

Type B Exhibition Hall

Independent exhibition halls constructed by the organizer and rented to exhibitors

Type C Exhibition Hall

Exhibition space in the joint exhibition halls provided by the organizer to developing countries free of charge