Cross-Border E-commerce Asia

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Cross-Border E-Commerce in Asia

The State of Cross-Border E-Commerce

The global cross-border e-commerce market is growing rapidly, particularly in Asia. Notably, China is one of the fast-growing cross-border e-commerce markets, contributing to a lot of outbound shipments around the world. of the top e-commerce logistics trends is the growing cross-border market around the world. For example, Cainiao Network and Alibaba have been expanding their global presence to facilitate the fast and efficient processing of international e-commerce shipments from Asia to other parts of the world. Cross border e-commerce growth is dependent on the capacity to ship products across countries in the shortest amount of time and at the lowest possible cost, including both inbound shipments and outbound shipments. And Asia is currently leading the way in global cross border e-commerce.

Cross-Border E-Commerce in Southeast Asia

Southeast Asia is indeed the rising cross border e-commerce hub, owing to its fast-growing population of internet-savvy consumers amongst other factors. According to Mordor Intelligence, cross border e-commerce already accounts for more than 40% of overall e-commerce sales in the region. Southeast Asia is also an important supplier for various product categories to numerous locations throughout the world, with the United States, Australia, and the United Kingdom being the three biggest destinations. The presence of large cross border industry players in the e-commerce world such as Amazon, Alibaba Group, eBay, are contributors to Southeast Asia’s rapid cross-border e-commerce growth.

Cross-Border Opportunities Post-COVID

Amid national efforts and widespread support for purchasing domestically especially during the height of the pandemic, customers are moving towards making more international purchases. This can be attributed to a variety of reasons, including price sensitivity and the availability of unique products. This brings new revenue opportunities to domestic retailers, who are not confined to selling domestically, but are now exposed to a much larger market segment.

Cross-Border E-Commerce in China

China now dominates the cross border e-commerce logistics market in Asia-Pacific (APAC), accounting for 56.4% of the total segment value (€23,596m). It is also the major supplier of current cross border online purchases across regions. Despite the economic instabilities and supply chain bottlenecks in 2021, cross border e-commerce imports and export in China surged 20.1% year on year during the first nine months. This is largely due to the landscape’s maturity, as well as the existence of overseas in-country warehouses and logistics networks, improving overall market efficiency.