What cross-border e-commerce executives say about new tax rules

Foreign goods sold on Tmall, the online marketplace, being packed for shipment in China at the Hangzhou Cross-border Trade E-commerce Industrial Park. [Photo provided to China Daily]

Liu Nan, founder and CEO of Mia.com:

Most concerning issues like how to manage trade limit and whether there will be a unified system are still vague. This kind of ambiguity would cause orderless competition and push customers back to foreign purchasing agents.

An official from Amazon.cn:

The new tax policy on cross-border e-commerce platforms will facilitate regulated and healthy development of the entire industry. Amazon adopts a multi-channel operation model, which includes foreign direct mailing and general trade import. After the adoption of the new policy, we will choose the ways of imports that are most beneficial to customers based on the applicable tax rates on different products.

Zhang Zhendong, CEO of Bolome.com:

Cross-border e-commerce platforms heavily reliant on previous favorable terms will have a hard time. If they do not change timely, they may face a faltering business model. Those operating on ordinary business logic surely welcome the new policy. Of course, the new rules require some of them to adjust operation strategies too, but such adjustment is not a problem of life and death, but of how to grow stronger.

Since the new rules are already in place, we should focus more on how to adjust timely and properly. Be it in product mix, logistics, pricing or promotion, adjustment is very important.