In recent, the COVID-19 epidemic is still spreading globally and the world economy is in severe recession. Stabilizing the basic disk of foreign trade and foreign investment is crucial to stabilizing the overall situation of economic operation and employment. However, due to the changes of relevant trade policies and the reduction of international logistics capacity, the traditional foreign trade model has been seriously hindered, and "stabilizing foreign trade" is facing major challenges. As a new form of foreign trade, cross-border e-commerce retail export has played a positive role for SMEs to explore overseas markets, attract and stabilize employment.
"Cross-border e-commerce plays a very important role in the process of stabilizing the basic foreign trade. In the future, the proportion of cross-border e-commerce in foreign trade may be further increased." Li Gang, director of the Academic Committee of the Academy of International Trade and Economic Cooperation, Ministry of Commerce，told China Report.
Cross-border e-commerce has become a new bright spot
According to the statistics, although the growth rate of foreign trade from January to May was negative, the negative growth rate was much lower than the negative growth rate of global trade. From the perspective of world trade as a whole, we have maintained a considerable level of scale, and therefore our share of global trade has increased slightly.
In addition, China's trade development with major trading partners, major export markets and import countries and regions is generally satisfactory. "If the situation of epidemic prevention and control and resumption of work in major countries improves in the third and fourth quarters, the global economy may have a slow upward trend. If this judgment holds, our foreign trade environment will improve slightly. So I think the goal of stabilizing the foreign trade base for the whole year can be achieved." Li gang told China Report.
Prevent uncertain factors and innovate business mode
According to Sang Baichuan, dean of the Institute of International Economics at the University of International Business and Economics, although the foreign trade situation has improved, uncertainties are still to be seen. "Although there have been many positive changes in China's foreign trade, if the epidemic in other countries cannot be effectively controlled, it will affect the pace of the world economy and China's foreign trade may also be impacted." On the other hand, Sang told China Report, China's foreign trade environment has undergone major changes.
In this context, how China's trade can achieve "stability and efficiency" has become a very important issue. "There are many new forms of business and new models in the trade field, but cross-border e-commerce plays a dominant role in these new forms and models. "The growth rate and speed of cross-border e-commerce are very fast, which is not only positive, but also plays a very important role in stabilizing the overall foreign trade fundamentals." "Li gang told China Report.
E-commerce is changing the pattern of trade
In 2018, at the first World Customs Cross-border E-commerce Conference, more than 1,000 representatives from 125 countries and regions gathered in Beijing. Participants believed that cross-border e-commerce was ushering in a "golden era" worldwide.
"Electronic commerce is changing our life and trade pattern, it makes the manufacturers, including small and medium-sized enterprises, and enterprises can more easily and more effectively into the global market, access to a wider range of buyers network and participate in the global value chain, consumers benefit from a wider choice of suppliers, and more competitive price." Yi Xiaozhun, deputy director-general of the World Trade Organization, believes China has great potential to become a global leader in e-commerce.
To build cross-border e-commerce enterprises with international competitiveness
In Sang's view, in the process of technological progress, China should take advantage of the opportunity of the new round of industrial revolution, especially the technological conditions of big data on the Internet, to strongly support the development of digital trade.
"In order to better adapt to the global value chain restructuring and changes in the trading environment, it is necessary to vigorously promote the development of cross-border e-commerce in the process of developing digital trade, and build more cross-border e-commerce platforms led by Chinese enterprises and participated by enterprises in importing countries." Sang Baichuan said.
"Through these, we can further provide enterprises with differentiated products, personalized customization and differentiated services suitable for the local market, so that export products and services can better fit with local needs." Sang explained to China Report that in the development process of cross-border e-commerce, the business environment and other aspects need to be further improved, including the legal system, tax system and corresponding service standards. All of these need to be fully coordinated and rapid reform should be carried out.
(China Report, July 2020)
