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BUSINESS & TECH

NetEase Targets Big Rise in E-Commerce Imports From U.S.

By Yang Ge
NetEase hopes to hit its latest cross-border e-commerce target by increasing the number of American brands sold on its Kaola website to around 3,000 by 2020. Currently, the platform sells goods from about 900 American brands. Photo: Visual China
NetEase hopes to hit its latest cross-border e-commerce target by increasing the number of American brands sold on its Kaola website to around 3,000 by 2020. Currently, the platform sells goods from about 900 American brands. Photo: Visual China

Internet giant NetEase Inc. said it expects to purchase $3 billion worth of products from U.S. brands over the next three years, tapping growing demand from Chinese e-commerce buyers who prefer overseas goods to avoid safety and counterfeit issues often associated with local competitors.

China’s domestic e-commerce market is currently dominated by two companies, Alibaba Group Holding Ltd. and JD.com Inc., which control the lion’s share of sales. But cross-border e-commerce is less developed and more contested, leading domestic players like NetEase and global giants like Amazon.com Inc. and Wal-Mart Stores Inc. to vie more aggressively for a place at the table. At the same time, a new generation of middle-class Chinese are increasingly opting for such offshore products in the wake of food safety and counterfeiting scandals at home.

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