China Cross-Border eCommerce is expected to grow more than ten-fold by 2020, when it is predicted to reach $245bn.
Chinese shoppers, both in physical as well as online shops, have shown appreciation for foreign products for years due to a numbers of factors, most notably for being deemed safer and of higher quality than their Chinese counterpart. Furthermore, Chinese have been known for purchasing high quantity of goods, especially luxury products, when travelling abroad, and have in fact become the world’s biggest spenders.
At a time when imports are low, the Chinese government is giving strong signals in order to promote cross border ecommerce and reverse the foreign’s trade decline. By integrating with foreign trade, premier Li KeQiang hopes to expand consumption, generate growth and create new jobs.
The move has been welcomed by many foreign companies, interested in reaching the growing Chinese middle-class, already the same size as the entire population of the US, through ecommerce. In particular, many brands that are still unknown to the general Chinese population will find more opportunities to expand in the country while shoppers will be able have even more imported products delivered to their doorstep from even more worldwide locations.