Stay informed of free updates
Just register at Business and Chinese financing Myft Digest – Delivered directly in your reception box.
Alibaba electronic commerce giants, JD.com and Pinduodoo lead Chinese internet groups in the launch of dollars' initiatives to help traditional exporters go to interior sales, as part of a national campaign aimed at damping the country's economy of a degeneration of the trade war with the United States.
Alibaba has set up a working group to source the goods from exporters in more than 10 provinces across China. Taobao and Tmall, its electronic commercial markets, have promised to offer higher commissions and better exposure to their platforms to encourage at least 10,000 exporters to sell 100,000 items. Alibaba's supermarket chain, Freshippo, also said that it has created special “green channels” for export suppliers to sell their products on its shelves.
PinduDuo had previously responded to the sellers of his TEMU international arm struck by the end of May 2 of “minimis” service exemptions on packages in the United States. He promised to invest RMB100 billion RMB ($ 13.7 billion) to help his merchants “rotate and upgrade”.
“We are determined to assume costs and risks … and to navigate in the uncertainty of the external market environment,” said the Co-chief of Pindudu, Zhao Jiazhen. “We will prioritize priority to the guarantee of stable development and healthy benefits of small and medium manufacturers.”
In addition to the cancellation of the exemption from “minimis” service on small packages of a value less than $ 800, Chinese sellers are faced with prices of 125% on several goods that they have sent to the United States, which makes these sales non-economic.
Elsewhere, the online retail platform JD.com has announced an RMB200BN fund to obtain local exporters products over the next year, with the owner of WeChat, Tencent, the Meituan and Bytedance delivery service, owner of short video applications Tiktok and Douyin, also launching similar programs.
The group of search engines, Baidu, said that it would allow companies to publish products in its live flows with the help of its “virtual humans” generated by AI for free. The DIDI carpooling application planned to invest RMB2BN to “stabilize employment and increase consumption” as well as support national manufacturers to “globalize,” he said.
Li Chengdong, founder of the Electronic Commerce Council based in Beijing Haitun, said that “political” considerations had pushed Chinese technology giants to “voluntarily assume social responsibilities”.
“A feeling of anti-American unity has prompted each Chinese company to do everything she is capable of,” said Li. “Intervening at this critical stage also brings them benefits of reputation.”
Li stressed that no official intervention is necessary, because the “political sensitivity” of companies is strong enough to guide such decisions.
“Consumers are also closely monitoring these (technological giants),” he added. “They must pay attention to public opinions and make clever commercial choices.”
Chinese technological groups were under control and recalled their social responsibilities by Beijing since a government repression in 2020. President Xi Jinping met the main entrepreneurs in February, notably Jack Ma d'Alibaba, Pony Ma and Wan Xing by Meituan, in a sign that the sector was in favor.
In the midst of a slow economy and punitive prices of Trump, the Chinese government has intensified its own efforts to counter disturbances. The Ministry of Commerce recently had interviews with professional associations, supermarket channels and distributors on how to help exporters explore interior sales channels. During a meeting in Beijing, assisted by Vice-Minister Sheng Qiuping on Friday, the ministry promised to help national companies cope with the “external shock”.
There has also been evidence of patriotic purchase by Chinese consumers and organized support for the country's stock markets from A “national team” State funds by investing and companies buying stocks.
