Basic knowledge of cross-border e-commerce: detailed explanation of customs, collection, logistics and overseas warehouses
The difference between customs border and national border
Customs territory refers to the territory where unified customs regulations and tariff systems are implemented, that is, the space where countries (regions) exercise customs sovereignty. Normally, the customs border is equal to the national border, but in certain circumstances, the customs border may be larger or smaller than the national border. When two or more countries form a customs union, the common customs border of the alliance is larger than the national borders of each member country. On the other hand, if a country has established bonded areas, bonded warehouses, free ports or free zones, these areas are considered areas outside the customs territory, making the customs territory smaller than the national border.
A separate customs area refers to a unified customs area formed between a country and its neighboring countries, or an area within a country’s territory where unique customs regulations are implemented. For example, the European Union is a typical separate customs area. A free customs zone is an area under the jurisdiction of a country or region that provides functions such as cargo storage and export processing, and is exempt from customs procedures and tariffs. Singapore is the only sovereign state with a free customs territory throughout its territory, while the Hong Kong Special Administrative Region of China is an economically developed regional independent free customs territory.
Overview of cross-border e-commerce payment methods
Cross-border payments are crucial to e-commerce, and poor payment channels can bring risks or even fatal blows. Currently, the main collection methods include direct collection from domestic sellers’ bank accounts, collection through third-party payment institution channels, and global collection services on cross-border e-commerce platforms.
Direct collection of payment into the domestic seller’s bank account means that the payment goes directly into the seller’s account opened in a domestic or overseas bank. Third-party payment institution channels use services provided by non-bank institutions such as Alipay to collect payments. The global collection service of the cross-border e-commerce platform is provided by the platform with comprehensive collection and foreign exchange settlement services.
Basic knowledge of cross-border e-commerce logistics and delivery
When choosing logistics, you need to consider factors such as freight, security, delivery speed and tariffs. The Wish online shipping process includes reviewing orders, allocating logistics, making orders, packaging and delivery. Alibaba AliExpress online delivery is provided by AliExpress backend, Cainiao Network and third-party logistics providers to ensure the rights of sellers.
Overseas warehouses and their functions
Overseas warehouses are facilities used by export cross-border e-commerce companies to send goods in bulk to foreign countries and sort, pack and distribute them according to local sales orders. Overseas warehouses not only improve distribution efficiency, but also help reduce costs and integrate into the local market. According to the operating entity, overseas warehouses can be divided into self-operated overseas warehouses and third-party public service overseas warehouses.
Conclusion
To sum up, cross-border e-commerce involves many aspects, including understanding of customs borders, selection of payment methods, formulation of logistics strategies, and application of overseas warehouses. Correctly grasping these basic concepts will help companies succeed in the international market.
Reference materials:
(Basic knowledge of cross-border e-commerce: customs and national borders)
(Basic knowledge of cross-border payment services)
(Basic knowledge of cross-border e-commerce B2C logistics and delivery)
(Basic knowledge of Ali-express online shipping)
(Basic knowledge of overseas warehouses)