Challenges Faced by China's Cross-Border E-Commerce Development

Challenges Facing China's Cross-border E-commerce

With the acceleration of globalization and the rapid development of Internet technology, cross-border e-commerce has gradually become an important part of international trade. However, in this booming process, China's cross-border e-commerce also faces many challenges. These challenges not only come from changes in the international market environment but also include domestic policy adjustments as well as the need for enterprises to enhance their own capabilities.

Firstly, the uncertainty of the international market is one of the main problems facing cross-border e-commerce. In recent years, due to the influence of geopolitical factors, many countries have strengthened their supervision of cross-border trade. For example, the US imposed additional tariffs on Chinese goods, compressing the profit margins of some export enterprises. Some countries have also raised import thresholds, increasing the time cost of certification, inspection and quarantine, etc., which is undoubtedly a heavy blow to cross-border e-commerce that relies on rapid turnover. According to data from the General Administration of Customs, China's cross-border retail import volume grew by only 5% year-on-year in the first half of 2025, far below the level of the same period last year, reflecting the direct impact of changes in the international market environment on enterprise operations.

Secondly, the contradiction between diversified consumer demand and supply chain stability is becoming increasingly prominent. Against the backdrop of consumption upgrading, overseas consumers are placing higher demands on product quality, brand recognition, and after-sales service. However, at the same time, affected by factors such as the pandemic, the global logistics system has been impacted, making it difficult to ensure delivery timeliness. Statistics show that the average transportation time from China to Europe is currently around 20 days, while traditional sea freight takes only 7-10 days. This gap has led some buyers who pursue instant gratification to turn to localized e-commerce platforms. Meanwhile, rising raw material prices, exchange rate fluctuations, and other factors have further increased operational pressure on businesses.

Thirdly, the inadequacy of legal and regulatory frameworks is another major obstacle hindering industry development. Although in recent years, China has introduced a number of policies and measures to support cross-border e-commerce, such as setting up comprehensive test zones and optimizing customs clearance processes, there are still gaps in areas like intellectual property protection and tax collection. Especially when dealing with cross-border transactions, how to balance the interests of all parties and ensure fair competition has become a pressing issue. For example, a well-known cross-border e-commerce platform was once sued for allegedly infringing on someone else's trademark, eventually having to pay a large compensation and adjust its business model. Such incidents remind us that only by establishing a sound legal framework can we provide solid guarantees for the long-term development of the industry.

Finally, talent shortages also restrict industry progress. Although in recent years, more and more colleges and universities in China have opened courses related to e-commerce, truly qualified professionals capable of handling complex cross-border business operations remain scarce. Especially in areas such as data analysis and market research, there is a severe shortage of composite talents with cross-cultural communication skills and professional expertise. To address this, many companies are trying to make up for these shortcomings through school-enterprise cooperation and overseas recruitment, but this clearly requires time and resource investment.

Faced with these various challenges, China's cross-border e-commerce must adopt proactive response strategies. On one hand, companies should closely monitor changes in the international situation and flexibly adjust their strategic layouts; on the other hand, they need to increase efforts in technological innovation, using emerging technologies such as big data and artificial intelligence to improve operational efficiency. At the same time, relevant authorities should continue to deepen reforms and opening-up, creating a more relaxed and convenient development environment for enterprises. With everyone's joint efforts, China's cross-border e-commerce will surely overcome numerous difficulties and shine even more brightly on the global stage.