Steps needed to boost cross-border e-commerce, says Suning chairman

Zhang Jindong, chairman of Suning Holdings Group Ltd. [Photo/IC]

China should take more steps to boost the development of cross-border e-commerce, said Zhang Jindong, chairman of Suning Holdings Group Ltd, one of China's largest electronics retailers.

"Cross-border e-commerce allows domestic consumers to enjoy the same food and services as those available in overseas countries," Zhang, also a member of the National Committee of the Chinese People's Political Consultative Conference, said in his proposal for the ongoing annual session of the CPPCC, the political advisory body.

"It also helps boost the growth of domestic manufacturing and service industries by luring consumption spending home," he added.

Suning set up its cross-border e-commerce business in 2014, which has expanded its supply chain to the United States, Japan, Australia, Europe and other popular destinations where Chinese consumers love to go shopping.

"New government policies are needed to encourage an online-to-offline shopping model for cross-border e-commerce, like allowing enterprises to set up bonded warehouses in their brick-and-mortar stores," Zhang added.

Bonded warehouses are areas where goods can be stored and undergo manufacturing operations without payment of duty.

According to him, this will allow consumers to do window shopping online and then try out as well as pick up products they want in offline stores. With no delivery process involved, consumers can quickly get what they want and return products they find unsatisfactory.