China is going to replicate the existing cross-border eCommerce (CBEC) pilot zones to the whole country for international market expansion between 2021-2025, Premier Li Keqiang said earlier. The State Council unveiled 46 new comprehensive pilot zones for CBEC, bringing the total to 105 zones in 2020.
Most zones are in coastal regions like Beijing, Shanghai, Guangdong, Zhejiang, Jiangsu, Shandong, and Fujian. CBEC pilot zones are exploring innovative breakthroughs in customs clearance management, tax collection and management, foreign exchange supervision, cross-border financial services and logistics.
The world’s second largest economy by GDP will also encourage trading companies, eCommerce platforms and logistics companies to set up overseas warehouses, meaning that customs supervision code 9710 and 9810 will be widely used in the country soon.
9710 is mainly used by direct cargos exports of B2B eCommerce platform while 9810 is for cargos storing in overseas warehouses after exporting from China and the goods will be delivered directly from the overseas warehouse later when the eCommerce platforms receive orders.
The aspiration comes after a 10 times growth in the last five years in eCommerce businesses and boost for upgrades to cater international trades. Exports has contributed significantly to the country’s GDP especially under COVID-19.
Imports and exports of eCommerce business reached RMB 419.5 billion in the first quarter of 2021, up 46.5% from same period last year. Currently, there are 1,800 overseas warehouses operating by China’s eCommerce platforms with a total area of 12 million square meters.
