China’s cross-border e-commerce boom sends manufacturers deeper into global markets

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JINAN: Chinese manufacturers are increasingly using cross-border e-commerce to sell directly to overseas customers, helping traditional factories expand into global markets while gaining greater control over pricing, branding and product development.

China’s cross-border e-commerce imports and exports reached 2.84 trillion yuan in 2025, up 4.8% from a year earlier, according to the General Administration of Customs. The growth is reshaping how manufacturers in major industrial hubs reach buyers in Europe, North America, Japan and other markets.

Partners (Qingdao) Home Decoration Co. is one example of that shift. The company said annual sales on a cross-border e-commerce platform climbed from more than $4 million to over $60 million in three years as it expanded beyond North America into Europe and Japan.

General manager Zhao Jing said online platforms allow manufacturers to reach consumers directly instead of relying entirely on overseas trade fairs or intermediaries. Platform data can also help companies adjust products and identify new markets more quickly.

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Mini excavator exports surge through online platforms

In Jining, Shandong Province, small construction machinery manufacturers are also using livestreaming and online marketplaces to reach overseas buyers.

Shandong Hightop Group said the value of its exports through cross-border e-commerce has exceeded 500 million yuan, or about $73.7 million, since the start of 2026, up 70% year on year.

The company began with a trading model before building its own factory and developing its own brand, according to chief operating officer Bu Panpan.

Jining is one of China’s major manufacturing centres for small construction machinery. Mini excavators made in the city now account for more than half of the e-commerce market in Europe and the United States, according to the report.

Industrial clusters drive overseas expansion

Cross-border e-commerce is also giving traditional industrial clusters new routes into overseas markets.

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Amazon China Vice President Song Xiaojun said manufacturing clusters benefit from decades of accumulated production experience, supply chains and technical expertise.

In 2025, clusters producing wigs in Jiaozhou, mini excavators in Jining and carpets in Tianjin recorded strong sales growth, according to Song.

The trend allows factories that previously focused on bulk orders from a small number of foreign buyers to interact directly with a much wider pool of consumers.

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Cross-border sellers face operational challenges

Direct-to-consumer overseas sales also bring greater complexity.

Companies must manage international shipping, advertising, payment collection, after-sales service and customer demand across multiple markets.

Industry representatives say smaller businesses often face shortages of staff with cross-border e-commerce expertise and lack experience in overseas branding.

Lyu Yaping, secretary-general of the Shandong Cross-Border E-Commerce Association, said the organisation is providing training to help small and micro enterprises build online export operations and expand them at scale.

China expands policy support for e-commerce exporters

China has placed cross-border e-commerce among the business models it plans to support under the 15th Five-Year Plan covering 2026 to 2030.

In April, the Ministry of Commerce and five other government departments issued guidelines encouraging closer integration between cross-border e-commerce, market procurement trade and China-Europe freight trains.

The guidelines also encourage exporters to register trademarks, apply for patents and develop their own brands overseas.

Major platforms are introducing additional support. Amazon has launched a programme aimed at developing 500 overseas-focused brand sellers from industrial clusters in northern China over the next two years.

Alibaba.com, meanwhile, has introduced AI agents designed to assist companies with round-the-clock business operations.

China’s expanding cross-border e-commerce sector is giving manufacturers new access to overseas consumers, while also pushing factories to develop stronger brands, digital sales capabilities and international supply chains.

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