Cross-border exports
Over the past years, there has been a notable increase in the number of cross-border e-commerce companies in China, most of which were small and medium-sized enterprises. By the end of August 2023, the total number of cross-border e-commerce companies had reached over 61 thousand. The gross merchandise value generated by international online trade constituted a significant part of the total international trade value in China. Driven by the development of logistics and digital payments, many Chinese e-commerce companies have set up strategies to acquire more overseas markets. Aliexpress and Shein have rapidly expanded their global reach, becoming the second and third most favorite cross-border retailers among online shoppers.Business-to-business (B2B) transactions have consistently constituted a significant proportion of the export value of cross-border e-commerce. However, business-to-consumer (B2C) transactions have been steadily gaining market share. To improve customer satisfaction, more than half of the Chinese sellers deliver goods directly from a distribution center abroad (also known as “overseas warehouse”) to shorten delivery time and reduce shipping costs.
Cross-border imports
In recent years, import cross-border e-commerce has seen a gradual increase in market share within the entire cross-border e-commerce market. The rising middle-class in China demand high-quality products, yet do not want to risk buying counterfeits. Therefore, cross-border e-commerce platforms have become an ideal option for purchasing foreign goods. In 2023, Tmall Global, JD Worldwide, and Douyin EC Global were the three most prominent cross-border online shopping websites for Chinese consumers, together making up over two thirds of the market.To foster sales, more and more merchants have integrated social media into their marketing strategies. Moreover, the establishment of long-term partnerships with foreign suppliers has enabled e-retailers to consistently offer products at competitive prices while maintaining quality standards. The expanding variety of imported products has also contributed to a steady growth in consumer numbers.
