China’s online retail sales top the world for 6th year

China’s online retail sales exceeded 9 trillion yuan in 2018, topping the world for the 6th year in a row, spokesperson Gao Feng said during a regular conference of the Ministry of Commerce (MOC) on March 21. The country’s online retail sales maintained a high-speed growth over the past ten-plus years, said Gao, who is also deputy director general of the General Office of the MOC. The growth of online retailing is still rapid, and the sector is still an important driving force for consumption, Gao pointed out.

In the first two months of 2019, the online sales of physical commodities grew 19.5 percent year on year to 1.1 trillion yuan. The proportion of the online retail sales to the total sales of consumer goods was 16.5 percent, up 1.6 percentage points from the same period last year. The growth rate of online sales of physical commodities was 11.3 percentage points higher than that of the total retail sales of consumer goods, according to Gao. The mode and structure of online retailing have been further optimized, the spokesperson said.

According to the MOC statistics, the Business to Consumer (B2C) model has seen its market share reach 73.5 percent, up by 3.3 percentage points from the previous year. The sector is becoming more personalized and customized. Gao said the slowing growth of online retail sales is in conformity with economic development because dividends generated by internet users are weakening when the country’s economy is transitioning from a phase of rapid growth to a stage of high-quality development. He stressed that full confidence should be kept that the online retail market will continue growing on a healthy basis because the industry foundation, innovation models, application of technologies and user habits have remained unchanged.

By Ding Yixin

(People’s Daily Online)