close
close

Trade fair in southwest China signals expansion of cross-border e-commerce – Xinhua

A guest listens to a device presentation during the sixth West China International Investment and Trade Fair at the Chongqing International Expo Center in southwest China’s Chongqing commune, May 23, 2024. (Xinhua/Zhang Ziyu)

CHONGQING, May 27 (Xinhua) — Cross-border e-commerce goods have become much more diverse, larger and heavier in recent years, according to Kelvin Ho, senior director of eBay’s business development in China.

Ho’s words were backed up by several special exhibition spaces at the just concluded cross-border e-commerce fair, part of the sixth West China International Investment and Trade Fair.

This year’s West China International Investment and Trade Fair was held from May 23 to 26 in Chongqing Municipality in southwestern China. Products on display included automotive and motorcycle parts, general machinery and new energy facilities.

Three large rotary tillers could be seen at the stand of Chongqing AMM Machinery Manufacturing Co., Ltd. These products were also very popular among foreign customers, from the largest agricultural producers such as India and Türkiye.

“Our company was founded in 2009, but we only started cross-border e-commerce in 2022, when managers started considering expanding production lines and finding a wider market,” said Yin Shengman, a sales employee at AMM.

“The experience of other partners has shown us that cross-border e-commerce platforms can help find more customers and orders around the world,” Yin said, adding that AMM has cooperated with Alibaba, which provides comprehensive cross-border e-commerce services.

Today, more than 20 percent of the company’s sales come from cross-border e-commerce.

Since eBay is a cross-border e-commerce service provider similar to Alibaba, Ho also found himself surrounded by visitors, most of whom were from local auto and motorcycle parts businesses.

eBay is one of the largest online marketplaces selling cars, motorcycles and parts around the world. In the beginning, the main products were light, easily delivered and frequently redeemed consumables such as light bulbs and rear-view mirrors.

As more sellers entered the e-commerce marketplace, products that were much heavier, larger, and met U.S. and European market access standards entered the marketplace. Every minute, approximately 120 car accessories, 30 wheels and parts, and 30 braking products are sold on eBay.

Large products have benefited from building overseas warehouses, Ho said.

Previous cross-border delivery of e-commerce products was mainly just-in-time, which is time-consuming and unsuitable for large items. According to Ho, building warehouses abroad facilitates the delivery of large and heavy products and reduces delivery times to three to five days from more than two weeks.

“Since 2020, we have built three overseas warehouses in the Netherlands, Germany and the UK with an area of ​​3.5 hectares. Deliveries from overseas warehouses are characterized by lower costs and better customer service,” said Mayel Ye, sales director of Shenzhen Baosen Suntop Logistics Spółka.

This year, the 135th China Import and Export Fair, also known as the Canton Fair, featured the foreign warehouse exhibition zone for the first time.

“The new products demonstrate China’s global commitment to opening up wider and sharing development opportunities,” said Chu Shijia, deputy director and secretary general of the fair and head of the China Foreign Trade Center.

Chongqing is a pacesetter in the automotive and motorcycle industries, with many eBay sellers sourcing from the city. However, local businesses themselves know little about cross-border e-commerce, Ho said.

“As China’s vehicle exports skyrocket, our association’s 2,200 southwest China auto parts enterprises are seeking to enter the global market through cross-border e-commerce,” said Lydia Wang, foreign trade manager at Chongqing Naigu Automobile Products E-commerce Co., Ltd. The company is a member of the Chongqing Auto Parts Industry and Trade Association.

Wang added that Naigu was one of the first companies to take advantage of cross-border e-commerce and currently 35 percent of the company’s export value comes from cross-border e-commerce.

“We sense the passion of enterprises in Chongqing ready to embark on cross-border e-commerce, and fortunately, many mature service providers such as eBay can help them better access the cross-border e-commerce platform,” Ho said.