Representatives from Chinese e-commerce premier companies are on a visit to Sydney to look at Australian business opportunity. The trade delegation includes giants of the e-commerce sector in China such as VIP.com, JD Worldwide, Yihaodian, and Alibaba. These four companies are some of the largest e-commerce companies in the world and attain hundreds of millions of orders annually, selling millions of products.
JD.com has market capital of more than US$40 billion and employs more than 72,000 employees. The company has more than 140 warehouses in 39 cities in China.
According to an Australian trade representative, it is very significant to see the four e-commerce rivals together. The trade delegation includes senior officials from the 80% of total e-commerce share in China. The trade delegation’s visit follows the free trade agreement that was signed on June 17 between China and Australia, recently.
This meeting is focused on reverse opportunities for Australian businesses to sell their products in the immense Chinese market. The prospective customer base includes 300 million Chinese e-commerce users. The three main Chinese e-commerce giants are Jd.com, Tmall.com, and VIP.com and they have been compared to Amazon. Alibaba’s empire consists of Taobao.com, Alibaba.com, and 1688.com. Alibaba’s AliExpress offers technology products worldwide such as phones, consumer electronics, tablets, and so on.
The trade delegation is visiting Sydney, Melbourne, and the Gold Coast. The meeting is about the e-commerce companies acting as intermediaries and setting up payment platforms, offering delivery and marketing support. In some cases, there could be tax reduction for Australian companies when exporting goods to China. The third parties from China could provide marketing and promotional opportunities, shipping and warehousing among other services.
The meeting has prospects of making productive changes in e-commerce and making the rules more attractive for Chinese exporters that sell to Australia.