Thai entrepreneurs can use CBEC channel to sell products online to the Chinese market

The cross-border online trade (Cross-border e-Commerce – CBEC) in the Chinese market has found continuous growth. Due to the increase in Chinese people’s use of the internet Consumer behavior has changed due to COVID-19 and the Chinese government has policies to support, it is an opportunity to expand Thailand’s export market. Target unique products Consumer products have a high opportunity.

Mr. Poonphong Naiyanaphakorn, Director of the Office of Trade Policy and Strategy (TNOC), Ministry of Commerce, revealed that the TNTC has studied the growth of cross-border online trade. e-Commerce (CBEC) has been found to be growing rapidly. Especially the Chinese market which is the main important market of Thailand This is due to a large increase in the number of internet users, with 1.067 billion people in 2022, an increase of 35.49 million people compared to 2021 and the COVID-19 outbreak. This has caused consumer behavior to change and turn to using e-Commerce more.

It was also found that the Chinese government has supportive measures and policies, such as the establishment of 165 cross-border e-commerce integration pilot zones, covering 33 cities such as Hangzhou, Beijing, Shanghai, Kunming and Chengdu, connecting between land and roads. sea ​​both domestic and international To promote exports, especially the products of Chinese SMEs, to overseas online platforms and promote the import of products from abroad. to be sold on online platforms in China Entrepreneurs will receive tax benefits and customs procedures that are easier than normal international trade. It has promoted connectivity between China and foreign countries through the signing of long-term cooperation contracts between the Chinese government and international trade and maritime transportation companies. Including promoting overseas warehouse companies to link with both Chinese and foreign E-Commerce platforms.

For importing goods from abroad into the Chinese market through the CBEC platform, there are two types:

1. Importing goods through a bonded warehouse (Bonded Warehouse Import). Entrepreneurs from around the world can import goods from abroad to store in Bonded warehouse without customs clearance and also not subject to taxes. until the consumer orders the product This form of importing has the following advantages: 1. Reduces product waiting time. Importing products and storing them in bonded warehouses can deliver products to consumers within 3-7 days.

2. Flexible supply chain. Operators can carry out sorting. Repackaging and labeling of goods in bonded warehouses without paying customs duties. 3. Maintain liquidity better This is because the operator must pay duties and taxes when the goods are removed from the bonded warehouse. As a result, the business is able to maintain its cash flow very well. But there are still limitations as follows: 1. Regulatory constraints, such as increased customs procedures for requesting storage of goods in warehouses and limitations on storing products in warehouses 2.Operating costs such as rent, insurance and management costs.

7 Top CBEC Rankings in China

Top 5 Social Media in China:

1.WeChat (similar to LINE/WhatApp with news channels )

2. Tencent QQ

3. Weibo (similar Twitter)

4. Douyin (TikTok of China, belongs to Bytedance)

5. Xiao Hong Shou (literally means “little red book”, similar to IG)