Thai businesses ride China’s e-commerce wave, reveals ministry study
The rapid expansion of the e-commerce sector in China offers substantial benefits for Thai businesses, as revealed in a recent study by Thailand’s Ministry of Commerce. The study, released yesterday, highlights the potential gains from the surge in China’s cross-border e-commerce (CBEC) trade.
In a bid to streamline the cross-border sale of goods, the Chinese government has established 165 pilot CBEC zones across 33 cities and regions. These zones simplify the process of selling Chinese products on foreign websites and vice versa, the study elucidated.
Poonpong Nainapakorn, the director of the Trade Policy and Strategy Office (TPSO), underscored the significance of CBEC trading for penetrating Chinese markets in the report. He pointed out that it presents Thai entrepreneurs with an avenue for increased opportunities, thanks to advantageous tax provisions and expedited, straightforward customs procedures.
Poonpong also advised entrepreneurs to thoroughly assess the legal, geographical, and cultural aspects of their prospective Chinese clientele. He emphasised the importance of effective communication with potential customers, which requires aligning the platform with the product.
The report also drew on data from China’s Customs, revealing that the total value of imports and exports carried out through CBEC touched US$150 billion in the first half of 2023. This represents a 16% growth year-on-year.
In related commerce news, New Commerce Minister Phumtham Wechayachai last week said he was aiming to address the cost of living and align product prices with production costs. He plans to expedite efforts to discover new export markets and enhance Thai shipping opportunities through increased trade negotiations.
On his first day, Wechayachai emphasized his commitment to Prime Minister Srettha Thavisin‘s policies and assured prompt attention to public concerns, especially regarding living costs and product prices.
He intends to ensure that product prices reflect the cost of living, benefiting both citizens and entrepreneurs. Additionally, he’s pushing for the identification of new export markets to revitalize Thailand’s stagnant export sector, which has seen contractions this year. Read more about the story HERE.
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