Under the new situation, how can China's cross-border e-commerce better "go to sea" and "break through"?

Chinanews.com, March 3 Question: Under the new situation, how can China's cross-border e-commerce better "go to sea" and "break through"?

Zhongxin financial reporter Liu Liang

As a new format for the development of international trade, China's cross-border e-commerce has flourished in recent years. According to data recently disclosed by China Customs, in the past five years, China's cross-border e-commerce import and export volume has increased from 2018 trillion yuan in 1 to 2022.2 trillion yuan in 11, and more and more "Made in China" have entered the international consumer goods market through cross-border e-commerce.

As many countries have gradually relaxed international travel restrictions, a number of industry insiders said in an interview with Chinanews.com that this year's development of China's cross-border e-commerce "going abroad" will usher in a new adjustment period, and how to better "go overseas" and "break through" under the new situation has become a common concern of the industry.

What are the development trends of cross-border e-commerce?

Since the optimization and adjustment of epidemic prevention and control policies, China's trade and personnel exchanges with the world have entered the "fast lane". When talking about the new situation facing China's cross-border e-commerce this year, Ruan Weixing, founder of China Cross-border E-commerce Fair, said that "globalization" is an important keyword.

He pointed out that since the outbreak of the epidemic, cross-border e-commerce has been a new bright spot in the growth of China's foreign trade, and its importance has further increased. As China's epidemic prevention and control enters a new stage, more and more Chinese cross-border e-commerce companies will go abroad through exhibitions to select and purchase products in overseas markets to achieve the goal of "buying the world, selling the world".

Affected by the epidemic in the past three years, the global cross-border e-commerce ecology has also undergone profound changes. According to Deng Hai, general manager of Fujian Miduoduo Network Technology Co., Ltd., "digitalization" is another trend worth paying attention to. Based on the development trend in recent years, he believes that the next stage of cross-border e-commerce dividends will come from the efficiency and certainty brought by the digitalization of the whole process.

"In recent years, traditional foreign trade is transforming, cross-border e-commerce is upgrading, and digitalization is not only a trend that enterprises should follow, but also an indispensable 'weapon' for the next development." Deng Hai pointed out that not only the government is promoting digital scenarios, platforms are strengthening digital empowerment, service providers are testing the water to apply digital technology, and front-line enterprises are showing strong interest in digital development.

"From the trend point of view, digital technology driving will be a powerful starting point for the development of cross-border e-commerce in the future." Deng Hai pointed out that the so-called technology driver includes digital marketing, technology research and development, etc., cross-border e-commerce can explore its own strength through digital industry trends.

How to better "go to sea" and "break through"?

Under the new situation, the development of China's cross-border e-commerce has ushered in a new period of opportunity, but the next step of "going to sea" and "breaking through" also faces new challenges.

First, the ability to resist risks needs to be improved. In the eyes of industry insiders, in the post-epidemic era, cross-border e-commerce enterprises have entered the competition stage of "customer acquisition + transformation + delivery + operation" integration efficiency optimization competition stage. In this regard, cross-border e-commerce needs to further "strengthen the bone", enhance the ability to resist uncertain risks, improve the ability of foreign trade operation of the whole link, and strive to receive orders, send goods, and receive payment.

Second, product quality requirements are improved. In Deng Hai's view, after years of reckless dividends, China's cross-border e-commerce is gradually moving towards standardized development. In the past, cross-border e-commerce relied more on low prices of manufacturing products and Internet traffic to drive sales, but now the cross-border e-commerce Internet traffic dividend is gradually receding, and the market has higher expectations for the research and development and technological content of China's cross-border e-commerce products.

Deng Hai said that in the past, the development model of OEM made China's manufacturing industry once at the bottom of the low value-added "smile curve". Now, through cross-border e-commerce, China's manufacturing industry has entered the left and right ends of the "smile curve". Chinese enterprises began to enjoy more international division of labor and more profit distribution, and also had greater voice and pricing power.

Third, the mastery of the new economic and trade rules is required. Chen Danfeng, chairman of Fujian iyuan Cultural Development Group Co., Ltd., pointed out that the entry into force of the Regional Comprehensive Economic Partnership (RCEP) has brought investment and trade liberalization and facilitation to China's cross-border e-commerce, but it has also brought new challenges. China's cross-border e-commerce needs to further establish compliance awareness, improve the ability to use RCEP at a high level, and better transform challenges into opportunities.

At present, some cross-border e-commerce companies are facing the pressure of increasing logistics costs and related issues such as compliance with international freight contracts. In this regard, Liu Bo, chairman of Panding International Group, suggested that in the future, China's cross-border e-commerce should also do a good job of preliminary research in various ways before "going overseas" and be familiar with the new local economic and trade regulations to reduce corresponding legal disputes. "Only by doing a good job in all aspects can we win the trust of more overseas buyers and increase the amount of overseas buyers purchasing Chinese goods." (End)