E-tailers eye Europe to boost sales

Chinese cross-border online retailers are strengthening efforts to expand into Europe to attract new customers and bolster sales, as cross-border e-commerce serves as an important driving force in bolstering the growth of China's foreign trade amid external uncertainties.

Eyeing the growing demand for online shopping in European countries, particularly among younger shoppers, Chinese e-commerce players are providing cost-effective products to local consumers by leveraging efficient logistics and supply chain networks to mitigate tariff pressures from the United States, according to industry experts.

AliExpress, Chinese tech heavyweight Alibaba Group's cross-border e-commerce platform, recently opened its services to local merchants in Poland. Over the past year, AliExpress has appealed to a batch of well-known Polish companies, and this strategic move will further bolster the platform's business growth in the local market.

AliExpress said some local merchants can enjoy benefits like zero deposit and commission-free services for the first three months, and directly sell their products to consumers from Poland and countries around the world.

Data from market research company Euromonitor International showed that AliExpress and Polish online shopping platform Allegro are the two most popular e-commerce platforms in Poland, the largest e-commerce market in Central and Eastern Europe.

To better support the operations of local merchants, AliExpress has partnered with more than 10 leading overseas warehouse service providers to roll out "certified warehouses" covering the United States, Spain, France, Germany, the United Kingdom, and Poland. The certified warehouses will provide faster deliveries and smoother shopping experiences for overseas buyers.

According to global research firm Statista, the revenue of Europe's e-commerce market is expected to reach $707.9 billion in 2025, with a compound annual growth rate of 7.95 percent, and the figure is projected to touch $961.27 billion by 2029.

Hong Yong, an associate research fellow at the Chinese Academy of International Trade and Economic Cooperation, said European nations have high consumption capacities and efficient and convenient logistics infrastructure, while local shoppers have developed mature online shopping habits, providing an ideal market environment for the development of cross-border e-commerce.

"As European consumers have shown surging demand for online purchasing in the post-pandemic era, Chinese e-commerce platforms could further expand their footprint there by offering commodities with high cost-effectiveness and localized operation and services," Hong said.

Temu, a cross-border e-commerce app owned by Chinese online discounter PDD Holdings, is expanding its presence in European countries in an attempt to diversify its customer base.

According to Consumer Edge, a data insights and market intelligence company, Temu's growth in the European Union surged more than 60 percent year-on-year in early May, with France leading the charge at nearly 100 percent growth.

TikTok Shop, the e-commerce marketplace of popular short-video app TikTok, which is owned by Chinese tech giant ByteDance, has made inroads into Europe with its rollout in Germany, France and Italy.

Meanwhile, Chinese cross-border e-commerce platforms are facing mounting regulatory challenges. The EU is planning to levy a 2 euro ($2.3) handling fee for low-value small packages coming into the bloc, mainly from China, according to recent media reports.

Cui Lili, a professor of digital economy at Shanghai University of Finance and Economics, said Chinese e-tailers should have a deep understanding of relevant laws, regulations and quality standards in foreign countries, and adjust supply chains to make products that meet local requirements.