Cross-Border E-Commerce (CBEC) in China: How It Works for Foreign Brands
Cross-Border E-Commerce (CBEC) in China: How It Works for Foreign Brands
CBEC is the fastest, most cost-effective way for foreign brands to sell directly to Chinese consumers — without setting up a local entity. Here's exactly how the model works, from bonded warehouses to tax advantages to platform selection.
What Is Cross-Border E-Commerce (CBEC)?
Cross-border e-commerce — commonly abbreviated as CBEC — is a government-regulated trade channel that allows foreign brands to sell products directly to Chinese consumers through approved online platforms, without establishing a Chinese legal entity. It is the single most important mechanism that has made China's e-commerce market accessible to international brands over the past decade.
The Chinese government introduced CBEC pilot programs in 2014 and has steadily expanded the framework since then. Today, there are over 165 CBEC comprehensive pilot zones across China, and the channel continues to grow — CBEC trade increased 15.5% in 2025 according to China's Ministry of Commerce, and continued its growth trajectory through 2026, with imports remaining a strong growth segment.
In practical terms, CBEC means you can ship your products to a bonded warehouse in China, list them on platforms like Tmall Global or JD Worldwide, and sell to Chinese consumers who pay in RMB through Alipay or WeChat Pay — all while your company remains a foreign entity. The Chinese government facilitates this through preferential tax rates, simplified customs procedures, and streamlined product registration.
Before CBEC, foreign brands had two choices: establish a Chinese company (expensive, slow, complex) or sell through a Chinese distributor (less control, less margin). CBEC created a third path — direct access to Chinese consumers with your own branded flagship store, operated by a Tmall Partner (TP), without the overhead of a local entity. For most foreign brands, this is still the best starting point for entering the China market.
How the CBEC Model Works
The CBEC process has four key stages. Understanding this flow is essential because it shapes everything from your inventory planning to your delivery experience.
Bulk Ship to Bonded Warehouse
Products ship from your origin country to a bonded zone in China via sea or air freight
Consumer Places Order
Chinese consumer buys your product on Tmall Global, JD Worldwide, or another CBEC platform
Per-Order Customs Clearance
Each individual order clears customs — duties and taxes are calculated and collected at point of sale
Domestic Delivery
Product ships from bonded warehouse to the consumer, typically within 2-5 business days
The key insight is that your products enter China before they're sold, but clear customs after each individual purchase. The products sit in a bonded zone — legally they haven't been "imported" yet. This is what enables the preferential tax treatment and simplified regulatory requirements that make CBEC so attractive.
From the consumer's perspective, the experience feels almost identical to buying from a domestic Chinese store. The product page shows a small "cross-border" label, the checkout includes a line item for import tax, and delivery takes slightly longer than domestic (2-5 days versus same-day or next-day). But the consumer is still shopping on a familiar platform, paying in RMB, and receiving a package delivered to their door.
Chinese customs assigns specific supervision codes to different CBEC models. The bonded warehouse model uses code 1210, while direct international shipping uses code 9610. You'll see these codes referenced in logistics contracts, customs declarations, and platform documentation. For most brands selling through Tmall Global, the 1210 bonded warehouse model is the standard.
Bonded Warehouse vs Direct Shipping
There are two main CBEC fulfillment models. The right choice depends on your product type, volume expectations, and consumer experience requirements.
Bonded Warehouse (Code 1210)
- Products pre-positioned in Chinese free trade zones
- Delivery in 2-5 days (domestic shipping)
- Lower per-unit shipping costs at scale
- Better consumer experience and conversion rates
- Requires upfront inventory investment
- Preferred by Tmall Global and JD Worldwide
Direct Shipping (Code 9610)
- Products ship from overseas after each order
- Delivery in 7-15 days (international shipping)
- Higher per-unit shipping costs
- No upfront inventory commitment
- Good for testing demand or niche products
- Common on Douyin Global and smaller platforms
For most foreign brands selling on major platforms, the bonded warehouse model is the clear winner. Chinese consumers have been trained to expect fast delivery — same-day and next-day for domestic purchases. A 2-5 day delivery window is acceptable for imported goods, but waiting 7-15 days significantly reduces conversion rates. The bonded model also allows for lower per-unit logistics costs since you're shipping in bulk internationally and only the last-mile delivery is per-order.
Direct shipping makes sense in specific situations: if you're testing a new market with uncertain demand, if your products have very long shelf life and you want to avoid bonded storage fees, or if you're selling through platforms that support direct shipping (like some Douyin Global Store configurations). Some brands also use direct shipping as a backup when bonded warehouse stock runs out unexpectedly.
Many brands start with bonded warehouse for their hero SKUs (top 5-10 products that drive most sales) and use direct shipping for long-tail SKUs with lower demand. This balances inventory risk with consumer experience for the products that matter most.
CBEC Tax Structure: What You Actually Pay
How Does CBEC Taxation Work in China?
CBEC offers a preferential tax regime compared to general trade — but the comparison is more nuanced than most articles suggest. The tax rates are lower under CBEC, but the two models also apply taxes to different price bases, which makes a direct percentage-to-percentage comparison misleading.
Here's the breakdown of each component under CBEC:
| Tax Component | CBEC | General Trade |
|---|---|---|
| Customs Duty | 0% (temporarily waived) | 5-25% (varies by category) |
| Import VAT | 9.1% (13% × 70%) | 13% |
| Consumption Tax | 0% for most goods (70% of standard rate if applicable) | Varies (up to 50% for cosmetics, alcohol) |
| Effective Combined Rate | ~9.1% for most consumer goods | 15-40%+ depending on category |
| Tax Base (Applied To) | Retail sales price (price paid by consumer) | CIF import price (wholesale/landed cost) |
Why the Tax Rates Are Not Directly Comparable
This is the part most guides get wrong. The ~9.1% CBEC tax rate is applied to the retail sales price — the full amount the Chinese consumer pays at checkout. General trade taxes, on the other hand, are applied to the CIF import price — the cost of the goods plus insurance and freight, which is significantly lower than the retail price.
Consider a skincare product that costs $20 at wholesale (CIF) and retails for $60 on Tmall Global:
CBEC
- Tax base: $60 (retail price)
- Rate: ~9.1%
- Tax paid: ~$5.46
General Trade
- Tax base: $20 (CIF import price)
- Combined rate: ~25% (duty + VAT)
- Tax paid: ~$5.00
In this example, the actual dollar amounts paid in tax are remarkably similar — despite the CBEC percentage being much lower. The gap narrows or even reverses depending on your product's markup from CIF to retail. For products with a high retail-to-CIF ratio (common in beauty and supplements), the CBEC tax advantage is smaller than it appears on paper. For products with a lower markup (consumer electronics, commodity goods), the CBEC advantage is more pronounced.
CBEC's main benefit is not that the tax amount is dramatically lower in every case — it's the combination of factors that makes the channel attractive. Zero customs duty (general trade charges 5-25%), reduced VAT, waived product registration (saving months of time and significant cost), and simplified customs procedures all contribute to making CBEC the most accessible and cost-efficient entry point for foreign brands. The tax savings are real, but they vary by product category and margin structure. Run the numbers for your specific products rather than relying on generic rate comparisons.
Purchase Limits
The preferential tax rates come with per-consumer purchase limits:
- Per-transaction limit: ¥5,000 (~$690 USD)
- Annual limit per consumer: ¥26,000 (~$3,600 USD)
If a single transaction exceeds ¥5,000 or a consumer's annual CBEC purchases exceed ¥26,000, the goods are subject to full general trade import duties and taxes. For most consumer goods, these limits are generous enough that they don't cause issues. But for higher-priced items — premium electronics, luxury goods, high-end appliances — the ¥5,000 per-transaction cap can be a constraint.
The ¥5,000 limit applies to the total order value including shipping, not just the product price. If your product retails at ¥4,800 and shipping adds ¥300, the order exceeds the limit and loses CBEC tax benefits. Factor this into your pricing strategy, especially for products near the threshold.
The Positive List: What Can You Sell?
Not every product can be imported through CBEC. The Chinese government maintains an official "positive list" — a catalog of product categories approved for cross-border e-commerce import. If your product isn't on the list, it must enter China through general trade with full import registration requirements.
The positive list currently covers over 1,400 product categories across a wide range of consumer goods. Major categories include:
Beauty and Personal Care
Skincare, cosmetics, hair care, fragrances. One of the most popular CBEC import categories. CBEC allows brands to skip the lengthy NMPA registration process required for general trade cosmetics.
Health Supplements
Vitamins, minerals, dietary supplements, functional foods. High demand from health-conscious Chinese consumers who trust foreign-made supplements for quality and safety.
Food and Beverage
Dairy, snacks, coffee, tea, wine, spirits, olive oil, baby food. Strong demand for imported food products driven by food safety concerns and premium positioning.
Baby and Maternity
Baby formula, diapers, baby care, maternity products. One of the original drivers of CBEC, still a major category with strong consumer preference for imported brands.
Fashion and Accessories
Apparel, shoes, bags, watches, jewelry. Growing category especially for niche and mid-premium brands that differentiate on design and quality.
Pet Products
Pet food, supplements, grooming, accessories. One of the fastest-growing CBEC categories driven by China's booming pet ownership trend.
The positive list is updated periodically by the Ministry of Finance, General Administration of Customs, and State Taxation Administration. Recent updates have expanded the list to include more niche categories and specific product types.
One of CBEC's biggest advantages is the waiver of pre-importation registration for many product categories. Cosmetics, infant formula, health foods, and medical devices imported through CBEC enjoy indefinitely extended waivers from the registration requirements that apply to general trade imports. This means you can get to market months or even years faster through CBEC compared to registering products for general trade.
CBEC Platform Options
Several major platforms support CBEC imports. Each has different strengths, audience profiles, and operational requirements. Here's how they compare for foreign brands:
| Platform | CBEC Model | Strengths | Best For |
|---|---|---|---|
| Tmall Global | Bonded + Direct | Largest CBEC marketplace, flagship store model, strong brand equity, mature advertising tools | Most foreign brands — the default starting point |
| JD Worldwide | Bonded + Direct | Own logistics network (JD Logistics), premium goods positioning, strong in electronics and health | Premium brands, electronics, health supplements |
| Douyin Global Store | Bonded + Direct | Video-first discovery, massive reach, livestream commerce integration | Beauty, fashion, lifestyle brands with strong video content |
| Little Red Book (Xiaohongshu) | Bonded + Direct | Content-commerce integration, trust-driven purchases, strong in beauty and lifestyle | Niche beauty and lifestyle brands, smaller GMV potential |
| Pinduoduo (Temu domestic) | Limited CBEC | Massive user base, value-focused audience, group-buying model | High-volume, value-positioned products |
For most foreign brands entering China through CBEC, Tmall Global is the standard starting point. It has the largest share of the cross-border e-commerce market, the most developed brand-building tools, and the strongest ecosystem for foreign brands. Once you've established a base on Tmall Global, expanding to JD Worldwide or Douyin is a natural next step.
For a detailed comparison of the two largest platforms, see our platform comparison guide. If you're considering the longer-term move from CBEC to domestic operations, our Tmall Global vs Domestic Tmall comparison covers that decision in depth.
Regulatory Requirements for CBEC
What Documents Do You Need to Sell Through CBEC in China?
While CBEC significantly simplifies the regulatory burden compared to general trade, there are still requirements you need to meet. Missing or incorrect documentation is one of the most common causes of launch delays.
Documentation Checklist
| Requirement | Details | Timeline |
|---|---|---|
| Business Registration | Valid company registration in your home country (no Chinese entity needed) | Already have |
| Brand Trademark (China) | Registered with CNIPA — China uses first-to-file, not first-to-use | 6-12 months (start early) |
| Brand Authorization Letter | Authorizing your TP to operate on your behalf on the platform | 1-2 weeks |
| Product Safety Documentation | Certificates of origin, safety test reports, ingredient lists (varies by category) | 2-6 weeks |
| Chinese-Language Labels | Product labels in Chinese — can be stickers applied at bonded warehouse | 1-2 weeks |
| Platform Merchant Application | Application to Tmall Global, JD Worldwide, etc. — review period varies | 2-4 weeks |
Trademark: The Non-Negotiable
This cannot be stressed enough: register your trademark in China before anything else. China operates on a "first-to-file" system, meaning whoever files the trademark first owns it — regardless of who used the brand name first globally. Trademark squatting is common, and if someone registers your brand name before you do, you'll face a costly and time-consuming legal battle to reclaim it.
Foreign brands cannot file trademarks independently in China. Under Chinese Trademark Law, foreign applicants must use a licensed Chinese trademark agent. Your Tmall Partner can typically recommend a trusted trademark agent, or you can work with an international IP law firm with China capabilities.
Category-Specific Requirements
- Cosmetics and skincare: CBEC waives the standard NMPA registration/filing requirement. You can sell most cosmetics through CBEC without Chinese product registration — a process that saves 6-12 months compared to general trade.
- Food and beverages: Require health certificates from your country of origin, Chinese-language nutritional labels, and compliance with China's food safety standards (GB standards).
- Health supplements: CBEC waives the "Blue Hat" registration required for general trade supplements. Labeling requirements still apply, and ingredient lists must comply with China's regulatory framework.
- Electronics: CBEC exempts many categories from CCC (China Compulsory Certification). However, products must still meet basic safety requirements.
Some CBEC operators promise brands they can sell "anything" through cross-border channels. This is misleading. Products must be on the positive list, and even within approved categories, specific products may face restrictions. For example, products containing certain controlled ingredients or making medical claims may be flagged during customs inspection. Always verify your specific products with your TP and a customs broker before shipping inventory.
Logistics and Bonded Warehousing
Logistics is the operational backbone of CBEC. Getting it right means fast delivery, happy customers, and efficient operations. Getting it wrong means stockouts during peak season, excessive warehousing costs, and customer complaints that tank your store ratings.
Bonded Warehouse Locations
China's major bonded zones for CBEC are strategically positioned near consumer hubs and transportation infrastructure:
| Bonded Zone | City | Strengths | Best For |
|---|---|---|---|
| Waigaoqiao FTZ | Shanghai | Largest FTZ, excellent port access, proximity to East China consumers | High-volume brands, general consumer goods |
| Hangzhou Comprehensive Zone | Hangzhou | Close to Alibaba ecosystem, strong CBEC infrastructure | Tmall Global focused brands |
| Nansha FTZ | Guangzhou | Proximity to South China consumers, Pearl River Delta logistics | Brands targeting Southern China |
| Qianhai FTZ | Shenzhen | Border with Hong Kong, fast customs processing | Brands shipping via Hong Kong |
| Zhengzhou Airport Zone | Zhengzhou | Central China hub, strong air freight connections | Brands targeting Central China, air freight heavy |
The Logistics Flow
Here's what the end-to-end logistics process looks like:
- International freight: Products ship from your origin country to the bonded warehouse. Sea freight takes 4-6 weeks (cost-effective for high volume), air freight takes 1-2 weeks (faster but more expensive).
- Customs entry into bonded zone: Products clear into the bonded zone under customs supervision. They're stored but not technically "imported" yet — no duties are assessed at this stage.
- Bonded storage: Products are stored, managed, and inventoried by your 3PL (third-party logistics) partner. Storage fees are typically calculated per cubic meter per month.
- Order fulfillment: When a consumer places an order, the 3PL picks, packs, and prepares the parcel. The Chinese-language label is applied if not already on the product.
- Per-order customs clearance: Each individual parcel is declared to customs. The consumer's ID information is verified, taxes are calculated and collected at checkout. This all happens in real-time — clearance typically takes minutes to hours.
- Domestic last-mile delivery: The parcel ships via domestic courier (SF Express, ZTO, YTO, etc.) to the consumer's address. Delivery takes 2-5 days depending on distance from the bonded zone.
Inventory Planning: The Critical Challenge
Restocking a bonded warehouse takes 4-8 weeks from when you place the order to when products are available for sale again. This lag time makes inventory planning one of the most critical operational challenges in CBEC:
- Plan around festivals: Shopping festivals like 618 and Singles Day (11.11) can generate 3-10x your normal daily sales volume. You need to have sufficient stock in the bonded warehouse well before the festival period begins.
- Monitor sell-through rates: Track daily sell-through data and set reorder triggers. Running out of stock doesn't just mean lost sales — it also damages your store's search ranking and algorithmic placement on the platform.
- Buffer for uncertainty: Especially in your first year, err on the side of slightly more inventory than you think you need. The cost of warehousing extra stock is almost always less than the cost of a stockout during peak season.
Ask your TP and 3PL partner to set up automated inventory alerts. You should receive notifications when stock for any SKU drops below a defined threshold — typically 4-6 weeks of projected sales. This gives you enough lead time to place a reorder and get products shipped before you run dry.
The Role of a Tmall Partner in CBEC
Running a CBEC store on Tmall Global or JD Worldwide is not a side project. It requires daily operations in Chinese, real-time customer service, platform-specific marketing expertise, logistics coordination, and regulatory compliance management. This is why the vast majority of foreign brands work with a Tmall Partner (TP).
In the CBEC context, your TP handles:
- Platform application and onboarding: Preparing documentation, submitting the merchant application, liaising with the platform team during the review process
- Store design and product listings: Creating your flagship store with Chinese-language content, localized product photography, keyword-optimized descriptions, and A+ detail pages
- Customer service: Real-time Chinese-language CS during Chinese business hours (Tmall requires sub-30-second response times, which directly impacts your store's DSR rating)
- Marketing and advertising: Running paid campaigns (Zhitongche, Wanxiangtai), coordinating KOL and KOC partnerships, managing Little Red Book (Xiaohongshu) seeding campaigns
- Logistics coordination: Working with your 3PL to manage inventory, monitor stock levels, coordinate shipments, and handle returns
- Festival preparation: Planning and executing major campaigns for 618, 11.11, and other promotional events
- Compliance management: Ensuring ongoing regulatory compliance, managing label updates, handling customs-related issues
The brand retains strategic control: pricing decisions, brand guidelines, budget approval, marketing direction, and product selection. The TP executes within those parameters. Think of it as "the brand decides what to do, the TP figures out how to do it in China."
Over 80% of international brands on Tmall Global use a Tmall Partner. The TP model isn't an optional extra — it's the standard operating model for foreign brands in China's e-commerce ecosystem. For a comprehensive guide to selecting the right partner, see our guide on what a Tmall Partner is and how to choose one.
Step-by-Step CBEC Setup Process
How Long Does It Take to Launch a CBEC Store in China?
Here's the practical sequence from "we want to sell in China" to "our CBEC store is live and taking orders." The entire process typically takes 10-16 weeks, though some steps run in parallel.
Market Research and Product Selection (Weeks 1-3)
Analyze your product category on Chinese platforms. Identify competitor pricing, review volumes, and bestselling SKUs. Select your initial product lineup — most brands launch with 10-30 hero SKUs rather than their full catalog.
Trademark Filing and IP Protection (Weeks 1-4, ongoing)
File your trademark with CNIPA through a licensed Chinese trademark agent. This process can take 6-12 months for full registration, but you can proceed with the application receipt. Also register key product designs and patents if applicable.
Select a Tmall Partner (Weeks 2-6)
Evaluate 3-5 TPs based on category expertise, team quality, existing client portfolio, transparency, and operational capabilities. Visit their offices if possible. Sign the TP agreement and align on KPIs, timeline, and budget.
Prepare Documentation and Compliance (Weeks 3-8)
Gather all required documentation: certificates of origin, product safety test reports, ingredient lists, brand authorization letters. Prepare Chinese-language labels. Your TP should guide you through category-specific requirements.
Platform Application (Weeks 5-9)
Your TP submits the Tmall Global (or JD Worldwide) merchant application with all supporting documentation. The platform's review team evaluates your brand, category, and documentation. Review typically takes 2-4 weeks.
Ship Inventory to Bonded Warehouse (Weeks 6-12)
Arrange international freight to ship your initial inventory to the bonded warehouse. Sea freight takes 4-6 weeks, air freight 1-2 weeks. Coordinate with your TP and 3PL on receiving, storage, and quality inspection.
Store Build and Product Listings (Weeks 7-12)
Your TP builds your flagship store: storefront design, product pages, Chinese copywriting, visual assets, backend configuration. Each product listing is optimized for platform search with keyword research and A+ detail pages.
Pre-Launch Marketing (Weeks 10-14)
Begin Little Red Book (Xiaohongshu) seeding with KOC reviews. Set up your WeChat Official Account. Prepare launch-period advertising campaigns. Book KOL partnerships for launch activation.
Soft Launch and Optimization (Weeks 12-16+)
Store goes live. Process initial orders end-to-end to validate the entire supply chain. Monitor conversion rates, customer feedback, delivery times, and return rates. Iterate on product listings and marketing based on real data.
What CBEC Actually Costs
Here's a realistic cost framework for a foreign brand launching a CBEC store on Tmall Global. These numbers represent typical ranges — your actual costs will depend on your category, product volumes, marketing ambition, and TP selection.
| Cost Category | Typical Range | Frequency | Notes |
|---|---|---|---|
| Platform Deposit | ¥50,000-100,000 | One-time (refundable) | Varies by category. Refunded if you close the store. |
| Annual Technical Service Fee | ¥30,000-60,000 | Annually | Partially refundable based on sales performance. |
| Platform Commission | 2-5% of GMV | Per transaction | Paid to the platform. Rate varies by category. |
| TP Retainer Fee | ¥10,000-100,000/month | Monthly | Depends on service scope and TP tier. |
| TP Sales Commission | 5-25% of GMV | Monthly/Quarterly | Tiered structure — rate decreases as GMV grows. |
| Marketing Budget | 20-35% of target GMV | Ongoing | Platform ads, KOLs, content, livestreaming. |
| Creative and Content | ¥50,000-200,000 | Upfront + ongoing | Store design, photography, video, product pages. |
| International Freight | Volume-dependent | Per shipment | Sea freight ~$2-4/kg, air freight ~$5-12/kg. |
| Bonded Warehousing | ¥2-8/CBM/day | Daily | Storage + handling + domestic shipping per order. |
8 Common CBEC Mistakes Foreign Brands Make
1. Not Registering Trademarks Before Entry
We've said it before and we'll say it again: file your trademark in China before doing anything else. Trademark squatting costs foreign brands millions of dollars annually in legal fees and lost market access. This is not theoretical risk — it happens routinely.
2. Choosing Based on Platform Fees Alone
Some brands choose JD over Tmall or Douyin over both because of lower commission rates. Platform selection should be driven by where your target consumer shops, your category strength on the platform, and the brand-building tools available — not by a 1-2% commission difference. The wrong platform costs far more than slightly higher fees on the right one.
3. Underestimating Logistics Lead Times
Restocking a bonded warehouse takes 4-8 weeks. If you wait until stock is almost gone to place a reorder, you'll face weeks of stockouts. Plan inventory at least 3 months ahead and set reorder triggers at 4-6 weeks of projected sales.
4. Ignoring Marketing Investment
Some brands assume that being on Tmall Global will automatically generate traffic. It won't. Organic visibility on Chinese platforms is extremely limited for new stores. Without investment in platform ads, KOL/KOC marketing, and Xiaohongshu content seeding, your products will sit in the bonded warehouse.
5. Shipping Your Entire Catalog
Don't try to launch with 200 SKUs. Start with your 10-20 strongest products — the ones with the best China market fit based on category analysis and competitor research. It's far better to have 15 well-stocked, well-marketed SKUs than 100 SKUs with thin inventory and no marketing support.
6. Skipping Product Localization
Your European or North American product pages won't work in China. Product listings need Chinese copywriting, localized visuals, mobile-optimized detail pages, and messaging that resonates with Chinese consumer concerns (authenticity, safety, origin story). Your TP should handle this, but make sure it's done properly.
7. Not Planning for Shopping Festivals
618 and 11.11 can represent 30-50% of your annual sales. If you're not stocked, prepared, and actively participating in these festivals, you're leaving an enormous amount of revenue on the table — and missing the algorithmic benefits that come with strong festival sales performance.
8. Treating China as a "Set and Forget" Market
CBEC is not passive income. It requires active, daily management — adjusting pricing, updating product pages, responding to consumer feedback, optimizing ads, managing inventory. The brands that succeed in China treat it as a serious business channel with dedicated attention and investment, not an afterthought bolted onto their existing e-commerce operations.
Frequently Asked Questions
What is cross-border e-commerce (CBEC) in China?
Cross-border e-commerce (CBEC) is a government-regulated trade channel that allows foreign brands to sell products directly to Chinese consumers through approved online platforms — without establishing a Chinese legal entity. Products are shipped to bonded warehouses in China's free trade zones and cleared through customs on a per-order basis when consumers purchase them. The Chinese government offers preferential tax rates and simplified registration requirements for CBEC imports.
What is the difference between bonded warehouse and direct shipping in CBEC?
Bonded warehouse (customs code 1210) means products are shipped in bulk to a bonded warehouse in a Chinese free trade zone before consumers order. When an order is placed, the product clears customs and ships domestically in 2-5 days. Direct shipping (customs code 9610) means products ship from overseas directly to the consumer after each order, with longer delivery times of 7-15 days. The bonded warehouse model is preferred by most brands because of faster delivery, better consumer experience, and lower per-unit shipping costs.
What are the CBEC tax rates in China?
CBEC imports receive preferential tax treatment compared to general trade. The combined tax rate for most consumer goods is approximately 9.1%, which includes a reduced customs duty (currently set at 0% for CBEC), VAT at 13% (reduced by 30% for CBEC), and consumption tax where applicable. This compares favorably to general trade import rates of 13-25%+ depending on the product category. Purchases are limited to ¥5,000 per single transaction and ¥26,000 per person per year.
What products can be sold through CBEC in China?
Products eligible for CBEC import are defined by the Chinese government's "positive list" — an official catalog of approved product categories. The positive list covers over 1,400 product categories including cosmetics, skincare, health supplements, baby and maternity products, food and beverages, fashion and accessories, personal care, pet products, and consumer electronics. Products not on the positive list cannot be imported through the CBEC channel and must use general trade import.
Do I need a Tmall Partner (TP) for CBEC?
While not strictly required, the vast majority of foreign brands selling through CBEC on Tmall Global work with a Tmall Partner (TP). A TP handles Chinese-language store operations, customer service, marketing, logistics coordination, and regulatory compliance — capabilities most foreign brands lack in-house. Going without a TP means building a full China operations team, which is significantly more expensive and complex. Over 80% of international brands on Tmall Global use a TP.