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    China South Korea FTA: Electricity Giant To South Korea "Enclosure"

    2015/6/7 21:06:00 23

    China South Korea FTACross-Border Electricity ProvidersSouth Korea

    stay

    China and South Korea sign free trade agreement

    After that, cross-border e-commerce tycoons were unable to sit still.

    In the FTA, cosmetics such as shampoo, shower gel and skin care products will be partially reduced by 20%~35% within 5 years. Toothpaste and other dental cleaning products will abolish the current tariff of 10% in 10 years.

    In addition to tariff reductions, the agreement also focuses on express delivery services.

    "Chinese express companies do not need to set up offices in Korea. They can directly carry out international express operations including air and sea pportation in Korea, and can also carry out all domestic express delivery services except Korea's postal department."

    Shen Danyang, a spokesman for the Ministry of Commerce, said he thought it would be right.

    Cross-border electricity supplier

    The development has brought "very positive promotion".

    Another cross-border electricity giant

    Jumei.com

    Also began to race.

    In June 2nd, jumei.com CEO Chen Ou said on micro-blog, "to Korea, originally wanted to find It 's skin buy snails, chatted happily tens of millions of dollars directly into the stock market."

    It is understood that It 's skin (Yi Si) is one of the three brands of Korean cosmetics company Han Fu company's sub brand, Yi Si's snails cream has previously become the sales of domestic electricity providers and sea Tao channel.

    Brand competition for "gunpowder flavor" hidden.

    After the announcement of jumei.com's stake in the company, according to Ding Lei's trip to Korea on the official website of Koala sea, Ding Lei also had a deep discussion with It 's skin executives on the morning of June 3rd.

    In addition to koala shopping and jumei.com, Jingdong and Tmall opened the "Korean Pavilion" in March and May respectively in the cross-border e-commerce platform, selling products involving mother and baby, food health care and beauty care.

    "With the reduction of the cosmetics tariff in Korea, more Korean brand will enter the Chinese market, so that the trust of Chinese consumers to these brands is also improving, which can promote the sales of Korean cosmetics brand in cross-border electricity suppliers. Secondly, the efficiency of Korean import commodities in customs clearance and clearance will be improved in the future."

    For the signing of the Sino Korean FTA, Wang Zheng believes that cross-border electricity providers will welcome the above positive.

    At the same time, it pointed out that since the FTA and the implementation of the import duty on skin care products in June 1st were mainly concentrated in the tariff link, and the value-added tax and consumption tax to be imported were not yet involved. Therefore, in the short term, the price advantage of the cross-border electricity providers that imported goods only needed to pay the postal tax (the import tax of luggage and postal articles) still existed.

    Behind the scramble for resources by cross-border e-commerce providers is the emergence of Korean cosmetics in the Chinese market.

    According to Yonhap reported on May 18th, in the first quarter of 2015, the scale of China's imported Korean cosmetics was 131 million US dollars, an increase of 237.2% over the same period last year, accounting for 19.1% of the total imports of cosmetics in China over the same period.

    South Korea is the second largest source of cosmetic imports in China after France.

    Han cosmetics brand is also constantly increasing the Chinese market.

    South Korea's largest cosmetics group Emily Pacific report shows that in 2014, its sales in the Chinese market was 467 billion 300 million won, up 44% over the same period last year.

    "In the current Chinese market, the European and American departments have the largest share of cosmetics, and the Korean makeup market is growing faster.

    This is related to the continued popularity of Korean dramas and Korean idols in China. At the same time, South Korea's make-up and skin care products are "natural, youthful" plus low prices, so they are close to young people.

    Gu Jun, Deputy Secretary General of Guangdong daily chemical association, analyzed the reporter. But at the same time, he said that because Han makeup entered China for a relatively short time, compared with L'OREAL, Shiseido and other European and American brands, the development was not stable, and the base of the masses was relatively weak.


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