Shanghai launches service platform for overseas warehouses

Shanghai on Wednesday launched a comprehensive service platform for overseas warehouses, aiming to promote high-quality development of such cross-border e-commerce entities in the city.

China's cross-border e-commerce has seen rapid growth in recent years, with total imports and exports reaching 2.1 trillion yuan (US$290.88 billion) in 2022, according to customs data, maintaining an annual compound growth rate of around 20 percent over the past five years.

With the continuous upgrading of cross-border e-commerce models, optimizing the supply chain has become a must for enterprises. Cross-border e-commerce bonded warehouses have become the fastest-growing and most potential new business pattern with the advantages of lower logistics costs and faster delivery times.

To promote the high-quality development of cross-border e-commerce bonded warehouses, the city's commission of commerce, along with the tax, customs, and foreign exchange departments, has guided the Shanghai Cross-Border E-commerce Public Service Co Ltd in building an overseas warehouse comprehensive service platform using big data and blockchain technology.

The platform integrates information on overseas warehouse goods export clearance, overseas sales, international logistics, and more, building a comprehensive digital trade ecosystem for the entire overseas warehouse trade process.

It also provides services such as trade process traceability and authenticity verification for collection and settlement of exports, as well as tax refund and return processes. This offers information support for digital intelligent supervision and promotes the facilitation of overseas warehouse trade.

Enhanced services

At the launch ceremony on Wednesday, eight companies signed agreements on site to join the platform.

Shanghai's cross-border e-commerce comprehensive pilot zone has achieved significant results in recent years, ranking in the top tier of such pilot zones in China, according to the comprehensive evaluation by the Ministry of Commerce in both 2021 and 2022.

The scale of cross-border e-commerce transactions in the city has grown from billions to hundreds of billions, with the import and export value adding up to 184.12 billion yuan in 2022, up 38.6 percent.

In the first half of this year, the figure reached 141.96 billion yuan with a growth of 84 percent. Among them, the exports of overseas warehouses, with the flexible operation advantages of advance stocking, batch transportation, and local returns and exchanges, have become an important channel and driving force for cross-border e-commerce enterprises' export growth.

Shen Weihua, vice chairman of the city's commerce commission, said that the platform aims to solve the pain points and impediments faced by cross-border e-commerce enterprises in overseas warehouse exports, such as data collection, export tax refunds, and foreign exchange settlements.

The commission will encourage and support the innovative development of cross-border e-commerce business models, Shen pledged.

Efforts will be made to further improve the services and expand the influence of the city's public service platform for cross-border e-commerce, so as to maximize the role of digital technology in empowering the development of new forms of foreign trade, according to Huang Weijun, Party Secretary of Shanghai Information Investment Co Ltd.