Zhuhai FTZ eases pathway for e-commerce companies

Millions of yuan in subsidies toward settlement, rent, brand cultivation, and talent training will be used by the Zhuhai Free Trade Zone to support cross-border e-commerce companies, comprehensive service platforms, and logistics enterprises.

The 10 articles in the document, Interim Measures to Support the Development of Cross-border E-commerce Industry in Zhuhai Free Trade Zone, are applicable to companies and platforms that register and operate businesses in Zhuhai-Macao Cross-Border Industrial Zone Zhuhai Park.

A one-time subsidy of 3 million yuan ($440,320) is available for cross-border e-commerce enterprises with a trade value of more than $50 million in the first year of settlement. Cross-border e-commerce comprehensive service platforms whose online transaction values exceed $20 million, $60 million, and $100 million the first year of settlement will be given respective one-off subsidies amounting to 300,000 yuan ($44,030), 1 million yuan ($146,7735) and 1.5 million yuan ($220,160).

Zhuhai Free Trade Zone [Photo courtesy Zhuhai Daily]

Enterprises that settle in the industrial incubation base can receive rent subsidies. Those recording more than 500 customs-cleared packages or a trade value of 50,000 yuan ($7,339) annually will be returned the full amount of their rent that year.

Logistics subsidies of up to 2 million yuan ($293,550) each will be offered to enterprises using the Hong Kong-Zhuhai-Macao Bridge (HZMB) and Zhuhai-Macao Cross-Border Industrial Zone Checkpoint. One-way toll of vehicles crossing the HZMB to or from Hong Kong will be fully reimbursed, and each trip to or from Macao will generate 50 yuan ($7.30) for the company.

Companies renting warehouses for cross-border e-commerce can receive a monthly subsidy of 10 yuan ($1.50) per sq m for three consecutive years. The annual subsidized amount for a single enterprise is not to exceed 1.5 million yuan.

Meanwhile, O2O offline experience stores that have operated for more than one year, feature a business area of over 300 sq m (359 sq yd), and record an annual turnover of over $1 million, can be granted a one-off 300 yuan ($44) per sq m up to 3 million yuan.

Enterprises whose annual sales volumes under self-owned brand reach $500,000, $1 million, $2 million, $5 million, $10 million are eligible for respective one-time subsidies of 50,000 yuan, 100,000 yuan ($14,680), 200,000 yuan ($29,355), 500,000 yuan ($73,390) and 1 million yuan. 

Those sending employees to out-of-town cross-border e-commerce training sessions recognized by the Free Trade Zone can receive 1,000 yuan ($147) per person. The annual subsidy for a single company can be no more than 100,000 yuan.

Operators of cross-border e-commerce customs clearance centers that process 2,000 packages or above daily will be granted a one-off construction subsidy of 300,000 yuan.

Zhuhai was approved as a Comprehensive Cross-Border E-Commerce Pilot Zone to pioneer business-to-business technical standards, workflow, supervision modes, and information practices last July and started its cross-border "online shopping bonded import" in January.