The mood at the Canton trade fair, where Chinese suppliers of everything from Christmas decorations to household goods and car parts gather, was surprisingly sanguine, even as vendors complained about the uncertainty of how the economic drama in Europe would play out.

The trade gathering – which is so large it is held twice a year in three phases – is at the front line of leading indicators on China’s export prospects.

At this year’s October fair, the third phase of which begins Monday, Raymond Kam, head of an $8m-in-revenues Christmas decorations company, reported that he had had 30 per cent more customer enquiries for Christmas next year than he did at the Canton fair’s April event. “Christmas is still Christmas. People want to enjoy it,” says Mr Kam.