quality service accelerates the development of cross-border e-commerce_Dongguan Today (2024)

On November 15, two trucks loaded with parcels arrived at the customs inspection area of Dongguan Bonded Logistics Center (Type B). After being unloaded, the parcels were automatically examined and checked by the customs under the help of computer system.These goods could be put on the shelves again after release from the customs.

Inside these parcels were bonded goods purchased by individual consumers on cross-border e-commerce platforms. To support the development of the comprehensive pilot zone for cross-border E-commerce in Dongguan, Shatian Office of Huangpu Customs has set up a return zone for bonded goods, which greatly reduces the time for returns and significantly cuts the costs.

To promote cross-border e-commerce, Dongguan has come up with many innovative solutions. After being approved as one of the third group of comprehensive pilot zones for cross-border e-commerce in July last year, Dongguan has developed a "1 + 5" policy system and innovated its service mechanism, accelerating the development of Dongguan’s cross-border e-commerce .

Better Functions

Wide-Ranging Businesses

Inthe e-commerce warehouse ofDongguan Bonded Logistics Center (Type B), workers are busy packing goods on automatic packaging lines.

Huang Guohua, deputy director of Shatian Office of Huangpu Customs said, "Thanks to the approval of Dongguan's comprehensive pilot zones for cross-border E-commerce and the State Council's new e-commerce policies, from this year, the center has witnessed a rapid growth of bonded e-commerce import goods. As of the end of this November, the total number of parcels delivered from the centerhasreached 1.615 million, nearly 5 times higher than that of last year. Productshavealsodiversified a lot,frommainlydiapers to various skincare products, cosmetics, and healthcare products, shaping an ecological chain of cross-border e-commerce bonded imports. The cluster effect has emerged. "

In fact, not only Dongguan Bonded Logistics Center (Type B), Qingxi Bonded Logistics Center and other special customs supervision areas are also actively exploring new business models of cross-border e-commerce. In January this year, Dongguan's first cargo of bonded import goods successfully made its clearance in Humen Port Comprehensive Bonded Zone; in August, Qingxi Bonded Logistics Center successfully tested and passed the cross-border e-commerce import BBC business.

The above situation is an epitome of the development of Dongguan's cross-border e-commerce. Since this year, Dongguan's cross-border e-commerce business hasstarted to thrive in many areas.One official from the Bureau of Commerce of Dongguan Citysaid that in the process ofbuilding thecomprehensive pilot zone for cross-border e-commerce, Dongguantried to create various parks; while the priority is given to the development of a center park, an integrated network covering all thecross-border e-commerce parks has come into being.

Dongguan has already deployed cross-border e-commerce retail export and retail import functions in qualified customs including Shatian, Nancheng, Chang'an, Fenggang, Changping and others. Entities providing such supporting services as logistics, sorting and comprehensive foreign trade services have been introduced as well. The cross-border e-commerce business is booming all over the city.

This is a result of sound policies. On one hand, Dongguan has made great efforts to improve mechanism on facilitating the market access for new business formats and models. Particularly, last year,it established a comprehensive experimental base for deepening reform of commercial systems in Dongguan Cross-border E-commerce Central Park, accelerated the reform of commercial system such as full electronic registration and cluster registration, explored a new mode of “full chain” service for starting business, and made it possible to concluding enterprise registration within one working day. In 2018, more than 5,000newcross-border e-commerce entitieswere established in Dongguan, a year-on-year increase of 400%.

On the other hand, Dongguan has builta “Dongguan Cross-border E-commercePublicServicePlatform”, which extends cross-border e-commerce supervision services to the online platform, realizing the full process tracking function of online declaration, supervision, logistics andpayment. The platform also provides customs clearance, foreign exchange settlement, tax refund and other convenient services.As of November, Dongguan enterprises have made 285 million declarations through the platform, witha total value up to 27.152 billion RMB.

Promote Coordination between Production and Marketing

Help enterprises expand global market

Dongguan is an importantplace of origin with well-developed manufacturing industry and complete product categories, which is its largest advantage over other domestic cross-border e-commerce comprehensive pilot zones. Currently, Dongguantakes the opportunity to build itself into a cross-border e-commerce import and export base in Guangdong-Hong Kong-Macao Greater Bay Area, exploring a new way for thesound development of cross-border e-commerce in China.

On October 24, Dongguan signed a cooperation agreement with Alibaba 1688 to build Dongguan into a pilot city of 1688 Digitalization of Place of Origin. Alibaba 1688 will map out a scheme for the digitalization of the industrial belt tailored to Dongguan, the first pilot city on the digital industrial belt, which will integrate online manufacturing, intelligent circulation, branded places of origin and gridding local services. In the next two years, Alibaba 1688 will help 100,000 enterprises in Dongguan realized digitalization, with online sales exceeding 100 billion RMB.The data from Alibaba shows that more than 50,000 enterprises in Dongguanhaveexpanded their market through Alibaba 1688, with monthly online salesreachingnearly 2 billion RMB.

Besides cooperation with cross-border e-commerce giants, Dongguan government also actively promotes the matchmaking between manufacturers and e-commerce platforms. On October 12, 2019 Advanced Manufacturing Chain Innovation and Development Conference and Dongguan Cross-borderE-Commerce Procurement Summit was held in Dongguan Changping Exhibition Center. More than 300 Dongguan manufacturing enterprises displayed their products and communicated with cross-border purchasers. About 4,500 buyers made on-site purchase and on-site turnover amounted to 34 million RMB.

According to Bureau of Commerce of Dongguan City, Dongguan has intensified efforts to implement the “Thousand-Hundred-Ten" Program of Guangdong Province. Every year, this program publicizesrelatedpolicies among5,000 manufacturing enterprises intending to start e-commerce business, provides platformmatchmaking service for 500 major manufacturing enterprises, and strives tohelp 50 manufacturing enterpriseskick off their business online successfully.

The data shows that every year,more than 200 cross-border e-commerce exchange meetings, promotion conferences, matchmaking meetings, e-commerce practical training and other activitieshave been held by Dongguan in cooperation with e-commerce platforms such as Alibaba, benefiting 5,000 enterprises andinvolvingmore than 30,000 people, greatly improving the marketing skills of enterprises, especially the small and medium-sized enterprises.

Government services play an important leading role. The data shows that in 2018 alone, the total number of cross-border e-commerce import and export declarations in Dongguan exceeded 360 million, involving more than 4,300 categories, mainly mobile phones and parts, plastic products and hardware products.

quality service accelerates the development of cross-border e-commerce_Dongguan Today (2024)

FAQs

What is the effect of cross-border e-commerce? ›

Cross-border eCommerce offers businesses the ability to reach a worldwide customer base. Unlike domestic eCommerce, which primarily caters to a single national market, cross-border eCommerce allows businesses to access consumers in multiple countries.

How big is the cross-border e-commerce market in China? ›

In 2022, the market size of China's cross-border e-commerce totaled 15.7 trillion yuan. The market was forecast to reach a value of 16.3 trillion yuan in 2023. B2B cross-border e-commerce constituted over three quarters of the market.

What are the risks of cross-border e-commerce? ›

Top 8 Cross-Border E-commerce Challenges
  • Customs and taxes. However, cross-border e-commerce has particular obstacles that businesses must be prepared to confront. ...
  • Cultural differences. ...
  • Logistics Challenges. ...
  • Market research. ...
  • Coin Conversion. ...
  • Exchange rates. ...
  • Currency risk. ...
  • Regulatory complexity in different countries.
Jan 29, 2024

Is cross-border e-commerce taxed in China? ›

For products sold to Chinese consumers through cross-border trade, transactions valued below RMB 5,000 or total annual e-commerce transactions below RMB 26,000 are exempt from import tariffs and can enjoy a 30 percent value-added tax or consumption tax reduction if applicable.

What is an example of cross border e-commerce? ›

An example of cross border eCommerce would be a business in the US selling to consumers in Europe. The business wouldn't need a physical store or presence to do this - only an online store. All they need is an online store and an eCommerce fulfilment service to process and ship orders.

What are the key challenges in cross border e-commerce transactions? ›

Challenges faced by cross-border ecommerce businesses

Legal regulations and compliance requirements vary across countries, making it essential for businesses to navigate complex legal environments. Sales taxes and customs duties also need to be considered, affecting pricing and profitability.

Why is e-commerce so successful in China? ›

China, unsurprisingly, has the largest social media population globally, as well as one that spend more time on their phones that most other nations. This has given rise to a whole new style of online shopping – social commerce, which is essentially buying via social media platforms.

What is the cross border e-commerce forecast? ›

Market Outlook

The Global cross-border e-commerce market was valued at US$ 2,830.7 billion in 2023 and is expected to reach a valuation of US$ 16,454.9 billion by 2032 at a CAGR of 21.6% during the forecast period from 2024 to 2032.

What is China's most popular e-commerce as of today? ›

Top 15 Chinese eCommerce websites (Updated 2024)
  1. Taobao (淘宝) Website: taobao.com. ...
  2. Douyin (抖音) Website: douyin.com. ...
  3. Pinduoduo (拼多多) Website: pinduoduo.com. ...
  4. Xiaohongshu (小红书) Website: xiaohongshu.com. ...
  5. JD (京东) Website: jd.com. ...
  6. TMall (天猫) Website: tmall.com. ...
  7. 1688 (Alibaba, 阿里巴巴) Website: 1688.com. ...
  8. SMZDM (什么值得买) Website: smzdm.com.

What is the biggest threats to e-commerce? ›

What are common E-commerce threats? Common E-commerce threats include malware and ransomware attacks, social engineering (phishing), cross-site scripting (XSS), brute force attacks, denial of service (DoS) and distributed denial of service (DDoS) attacks, malicious bots, SQL injection, and API attacks.

Why is e-commerce risky? ›

ONLINE SECURITY BREACHES

Some risks that online businesses face are phishing attacks, website hacking, malware, credit card fraud, ransomware attacks and unprotected web services.

Do you understand cross-border e-commerce? ›

As a retailer, Cross-Border e-Commerce is defined as selling goods from a website of a national store in another country to another party. Cross-border e-Commerce can be between a retailer or brand and a consumer (B2C), or between two businesses (B2B), or between two private persons (C2C).

Do I have to pay taxes if I buy something from China? ›

You'll need to pay customs duty (or import tax) on any goods you move across the US border from China, though goods from some countries are exempt due to different international trade agreements. The United States Customs and Border Protection (CBP) enforces customs rules.

How much tax will I pay if I import from China? ›

You are expected to pay import duties on goods valued at more than $799. The duty rates can be specific, like charging 19.8¢ per liter, or they can be calculated according to the estimated value of the goods, like charging 3.2% of $7,000 (the value of the goods). This will depend on the HS codes of the goods.

What are the problems with cross border transactions? ›

Challenges in Cross-Border Transactions

Cultural and Language Barriers: Misunderstandings can arise due to differences in business practices or language nuances.

What is the risk of cross border transactions? ›

Cross-border risk is the risk that a firm will be unable to obtain payment from its customers on its contractual obligations because of measures taken by the government regarding the convertibility and transferability of funds denominated in a foreign currency.

What are the disadvantages of cross border investment? ›

Disadvantages. In cross-border financing, currency risk and political risk are two potential disadvantages. Currency risk refers to the possibility companies may lose money due to changes in currency rates that occur from conducting international trade.

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