China cross-border eComm opportunity is huge and fast growing
by 2020, every 1/4 of Chinese will shop online from cross-border eCommerce
Total Retail Revenue:
Cross-border shoppers reached:
Average buy from cross-border:
1-2 a month
Top Selling Products:
Recent new China cross-border law further accelerate the growth
New law further expand the imported items and personal allowance for cross-border expenditure
Increased allowance in each transaction:
Up to 5K RMB ($724)
Total allowance annually:
Up to 26K RMB ($3,765)
Duty-free cross-border products allowed:
Up to 1,321 items
Increase cross-border eCommerce zones:
Up to 35 cities
Benefit of China cross-border eCommerce
No more "Diaoguo" undermining overseas brands and profits
Before the new eCommerce law enforced in early 2019, most cross-border eCommerce was operated by "Diaoguo" (purchase-on-behave) operators. They buy non-counterfeit products from brand owners or overseas retailers and sell back to Chinese consumers - this is considered a grey international trading approach as "parallel import", which results in sever damage to overseas brands or undermining their profits. Some of the operators do not even have proper business license or customer services in place and their customers are often left in wonder if the products are lost or held by China custom.
After China government issued a new eCommerce law in early 2019, "Daiguo" operators can no longer sustain their business as they are required to set up a proper business entity and obtain eCommerce license from China authority - and pay tax. As a result, most products sold through Diaoguo become pricer than direct purchase from overseas.
Through legitimated cross border eCommerce operators such as Promo2China and its partners, we are able to help overseas brands to sell their products to Chinese consumers with ease. Overseas brands could directly be benefited from cross-border eCommerce such as:
No need to set up a China-based legal entity -- Save all the administrative hassle and high costs associated with company registration
Integrate with dominant payment in China - Such as WeChat Pay and AliPay, which are 2 major online payment options to Chinese shoppers
Reliable and trustworthy cross-border transaction - Under the new eCommerce law, all eCommerce operators are required to obtain proper eCommerce license and a functional platform that is fully integrated with China custom. Each transaction through this operator's platform will be recorded in real-time with 3 order systems - the customer order, the China custom product registration and checking system, and the 3rd party logistic service provider (if shipped from warehouse in China). Each Chinese customer could track their order and so does overseas brand owners.
Fast and transparent payment remittance - A legitimated cross border eCommerce operator such as Promo2China and our partners could process payment from RMB to USD or other currency in according to China central bank published rate in 30 days.