Cross-Border E-Commerce Trade. "Given the increasing complexity on global financial markets, it is important to guard against the risks in cross-border capital flows and maintain financial stability. Imports including agricultural products, daily consumer goods, equipment and parts will be increased to meet domestic demand. Xu Zhixian is … The reporting processes on foreign exchange businesses for trade in goods will be improved. Another 141,000 got newly registered, up by 7.7 percent year-on-year. "E-commerce trade volume reached about 1 billion yuan between January and September. Measures on keeping foreign trade stable were adopted at the meeting. Cross-border eCommerce in China allows international companies to sell goods to Chinese consumers online through platforms such as Alibaba’s Tmall Global and Kaola. Small and micro cross-border e-commerce enterprises that handle the collection or payment of foreign exchange of trade of goods less than US$200,000 accumulated per year, are exempt from the registration of “list of enterprises engaged in foreign exchange trade receipt and expenditure.”. E-commerce in China has become part of Chinese consumers daily life. By cross-border, I mean those channels such as Tmall Global or JD Worldwide, which allow foreign brands to sell to Chinese consumers from outside of mainland China, be … Cross-border, on the other hand, is defined as the direct import of goods from outside China through special cross-border e-commerce platforms and the preferential policies of special economic zones or warehouses (free trade zones). China Announces New Free Trade Zones in Six Provinces, Pre-investment Capital Planning for China’s Foreign Exchange Control, Click to share on Facebook (Opens in new window), Click to share on LinkedIn (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on Reddit (Opens in new window), Click to email this to a friend (Opens in new window), How to Stay Compliant under China’s New Foreign Investment Law, How to Use China’s Negative Lists and Foreign Investment Encouraged Catalogue, Dezan Shira & Associates' Service Brochure, An Introduction to Doing Business in China 2020, China’s New Foreign Exchange Rules to Ease Cross-Border Transactions. Find useful cross border trade resources, or cross border trade information about global business and trade on Made-in-China.com. All of this serves to reduce the trial-an… According to the announcement, restrictions placed upon the use of foreign exchange settlement in the domestic asset realization account will be removed. New zones will be developed to facilitate innovation in imports. There are 3 kinds of taxes here: Taxes: This is the “variable” taxes that the government puts on the goods. Automation in the professional services segment – the use of information technology to automate basic busine... Dezan Shira & Associates helps "There is a trend towards more direct shipping out of China through digital cross-border shopping channels, which helps alleviate some of the downtrend in Chinese exports driven by the trade … The Alataw Pass, a major rail port at the China-Kazakhstan border in Xinjiang, has shown great market potential in cross-border e-commerce trade since the business was launched in January. This rule will take effect January 1, 2020. According to statistics released by the General Administration of Customs in October, China's foreign trade maintained steady performance in the first three quarters of this year. The order, issued Thursday, said cargo train and aircraft could also continue operating between the two countries as long as safety measures are conducted to prevent spread of the nCoV. Pilot programs will be carried out where registration for each foreign borrowing is no longer required. Crossborder # trade in Pingtan, Fujian province, has experienced doubledigit growth despite the # COVID_ 19. However, transit trade value with China expanded during the first five months of 2020 at 90.74 billion baht, up 15.74 per cent year-on-year. Alibaba and e-commerce service provider Youzan both released their … A significant part of China-Pakistan cross-border trade falls within the category of shadow economy. Cross-border e-commerce (CBEC) – activities of purchasing or selling products via online shopping across national borders – is gaining momentum in China. The general principle is to maintain a macro-prudential policy while enhancing micro regulation," Li said. Procedures of receipts and payments of relevant funds will be simplified for micro and small cross-border e-commerce companies. The table below shows how China has improved on Trade Across Borders from 2018 to 2019. Prior to these new rules foreign investment enterprises not engaging in investment activities could only make new equity investment in other enterprises with retained profit, which limited further investment to be made in China where the enterprise was short on cash or retained profit. RMB internationalization accelerated in 2009 when China established the dim sum bond market and expanded Cross-Border Trade RMB Settlement Pilot Project, which helps establish pools of offshore RMB liquidity. Trump Seeks to Intervene as States Join Texas Election Suit Nov 06,2020. Sorry, your blog cannot share posts by email. Stay Ahead of the curve in Emerging Asia. China’s foreign exchange control regime concerns all cross-border transactions to a greater or less extent and often plays an important role in driving transaction structures and financing arrangements for … If businesses choose not to open such an account, the income arising from trade in goods will be subject to bank review, and then be able to have direct access to the foreign exchange account. Cross-border e-commerce in China has grown steadily in recent years, on the back of strong consumer demand for premium brands and high-quality overseas products. The verification process of import payment of foreign exchange will be simplified. Cross-border sales are defined as the direct import of goods from outside Mainland China, utilizing special channels, known as cross-border e-commerce platforms, and the preferential policies of special economic zones or bonded warehouses. Trade volume of China's export cross-border e-commerce players 2011-2019 Maternal and baby product online shopper share in China 2015, by gender Most common e-commerce issues across MENA 2014-2016 Cross border e-commerce is defined as import and export activities of cross-border trade conducted through e-commerce methods by transaction subjects from different customs borders.It is mainly classified into B2B and B2C. Please contact email@example.com or visit our website at www.dezshira.com. In addition, the following measures will be implemented to facilitate the foreign exchange receipts and payment for goods trade: These measures were previously piloted in Shanghai, Zhejiang, and Guangdong-Hong Kong-Macau Greater Bay Area, but now will be extended to all provinces in the country. With the rise of Alipay and WeChat Payment, there are now two clear alternatives: Alipay cross-border and WeChat Payment cross-border. China to impose sanctions on U.S. officials over Hong Kong Nov 06,2020. and grow their operations. The cross-border import value was worth 218.63 billion baht, down 10.7 per cent. China Cross-border e-commerce platforms have been expanding rapidly and have gradually been replacing the traditional models such as haitao or daigou (people buying a product tax-free overseas and then re-selling it in the local market). Product Description. The reform will expand the scope of the pilot scheme to cover six new free trade zones established in 2019 and the whole jurisdiction of Shanghai. Limits on the number of foreign currency accounts under capital accounts will be removed, to facilitate foreign exchange settlement under certain capital accounts. businesses establish, maintain, HKMA and Bank of Thailand started a research project in the last quarter of 2019 on the application of digital fiat currencies for cross-border trade settlement. What is important now is that the many policies that have been introduced will be fully delivered, in an effort to achieve the goal we set early this year of ensuring the steady growth and raising the quality of foreign trade," Li said. At present, this pilot scheme has been carried out in 12 free trade zones, and several provinces and cities, such as Fujian, Zhejiang, Jiangsu, Shenzhen. The consumer base for imported goods via cross-border e-commerce has also expanded rapidly. However, under the new rules, banks will also focus on the authentication of the transaction and compliance requirements. In 2018, 13 ministries and commissions of China including CFDA, MOF, GAC, etc. Cross-Border E-Commerce Trade. When an enterprise branch registers, changes, or cancels their registration procedures with SAFE, only the original or duplicate of the Business License of the branch is needed. Cross-border trade in Heihe, China's northernmost free trade area adjacent to Russia's Blagoveshchensk, has remained stable this year. Policies on export tax rebate and credit-based insurance will be further improved. Bank of China Ltd London Branch provides various types of cross-border RMB products and RMB trade finance products, such as Letters of Credit, Documentary Collection, Telegraphic Transfer, Letter of Guarantee and so on. The new announcement covers 12 facilitation measures, which ease the controls surrounding cross-border trade and investment financing requirements and aims to provide a better business environment for domestic enterprises and overseas investors. China’s leaders emphasize the importance of increasing imports to facilitate both internal and external rebalancing. The China International Import Expo (CIIE), a government-backed trade fair, was held Nov. 5 – 10 to promote cross-border e-commerce amid a bruising trade war and global pandemic. China's ambassador to the U.S. expects new momentum for China-U.S. relations in 2021 Nov 06,2020 Despite the halt of global physical trade fairs due to the COVID-19 pandemic, a surging international trade demand is observed. "It is important to keep foreign trade and investment stable under the current situation by taking further steps in opening-up," Li said. The new rules therefore offer more flexibility in the investment structure for foreign investors. There will also be an easing of restrictions surrounding the use of foreign investors’ deposit account. The pilot program that facilitates revenue payments under capital accounts will be expanded. Imports and exports totaled 22.91 trillion yuan (about 3.24 U.S. dollars), up by 2.8 percent year-on-year. The decision was adopted on Wednesday at the State Council's executive meeting, chaired by Premier Li Keqiang. Cross-border e-commerce is growing in popularity in China.The growth rate of China’s cross-border e-commerce has been higher than the total amount of imports and exports in spite of the slowdown of global trade, which means that the penetration of cross-border e-commerce in import and export trade has been very high.. China is the major rice export market for Myanmar. Post was not sent - check your email addresses! Trade volume of China's export cross-border e-commerce players 2011-2019 Maternal and baby product online shopper share in China 2015, by gender Most common e-commerce issues across MENA 2014-2016 Eligible enterprises in the pilot area can use capital fund, foreign debt, and funds raised by overseas listing for domestic payment without providing supporting documents to the bank to prove the authenticity of the transaction on case-by-case basis before the foreign exchange settlement. It sets lower entry standards for overseas brands to benefit from the Chinese market, as the platforms help them to develop marketing strategies, sales channels, and product mix based on their better understanding of Chinese consumers. Cross-border trade in Heihe, China's northernmost free trade area adjacent to Russia's Blagoveshchensk, has remained stable this year. The Pilot Free Trade Zones (“Pilot FTZs”) offer a high degree of openness in relation to foreign investment and international trade in both goods and services. Doing Business in China 2020 is designed to introduce the fundamentals of investing in China. Dezan Shira & Associates´ brochure offers a comprehensive overview of the services provided by the firm. As an important border port, Dongxing provides a major trade link between China and Vietnam as well as other ASEAN countries. In 2019, China was ranked 65 out of 190 countries, with a score is 82.59, entailing a significant improvement. Located on the border of China and Kazakhstan, the China-Kazakhstan Horgos International Border Cooperation Center is the only cross-border trade center in the world. Trade volume of China's export cross-border e-commerce players 2011-2019 Number of cross-border online shoppers in China 2016-2020 Growth rate of cross-border online shoppers in China … Now when the domestic equity transferor receives the consideration for the equity transfer of the foreign investor, it can directly handle the procedures of account opening, capital remittance, and settlement in the bank with the relevant business registration certificate. The cross-border exports value was worth 305.73 billion baht, down 9 per cent. The cross-border exports value was worth 305.73 billion baht, down 9 per cent. It is also a principle that we've long followed," Li said. China’s new foreign exchange measures will ease financing controls on cross-border trade and investment activities to create a better business environment for domestic enterprises and overseas investors. On the first January 2019, the Chinese government issued, updated and imposed new rules on cross-border trade: The Cross-border E-commerce Retail Imports Regulation ("The Circular"); The previous requirements to report to SAFE for foreign exchange transactions during the counseling period have now been removed. PM Nguyen Xuan Phuc has ordered the resumption of cross-border trade with China to ensure economic activities are not affected by the coronavirus epidemic. China’s crackdown on daigou is part of its moves to strengthen e-commerce regulation and better control the rapidly expanding sector. 010020070750000000000000011102351384971941. Registration for the list of foreign exchange receipts and payments for trade will be facilitated for enterprises and their subsidiaries. More efforts will be made to develop a network of high-standard free trade areas, foster new forms of industry in foreign trade, and set up another group of comprehensive pilot zones for cross-border e-commerce. China’s foreign exchange control regime concerns all cross-border transactions to a greater or less extent and often plays an important role in driving transaction structures and financing arrangements for … On October 23, China’s State Administration of Foreign Exchange (SAFE) issued a notice Huifa  No.28. For Tmall Global, specifically, more than 80% of the brands that we currently sell made their China debut on the platform. Cross-border trade and FOREX. BEIJING, Oct. 23 (Xinhua) -- China will introduce more measures to better facilitate cross-border trade and investment, including improving foreign exchange management and further streamlining regulatory requirements with a view to attracting foreign investors with a more enabling business environment. The firm assists foreign investors throughout Asia and maintains offices in China, Hong Kong, Indonesia, Singapore, Russia, and Vietnam. There is much pressure on foreign trade. 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