1. Maintain overall growth trend
Although the overall foreign trade industry is sluggish in 2023, in terms of export data, there has not been a significant decline, but rather a growth trend. Customs data shows that in the first 10 months, China’s total export value reached 1.955 trillion yuan, a year-on-year increase of 0.4%. Although the growth trend is weak, it still maintains a growth state. Therefore, without significant changes, foreign trade is likely to continue its growth trend in 2024.
2. Cross border e-commerce becomes a new driving force for growth
Cross border e-commerce has become a new growth driver in the foreign trade industry for several years. In the first half of this year, China’s cross-border e-commerce import and export volume achieved double-digit rapid growth. Cross border e-commerce can reduce intermediate trade links and break through time and space limitations, which has led more and more traditional foreign trade enterprises to transform into cross-border e-commerce. Therefore, cross-border e-commerce will still be a major driving force for the foreign trade industry in the coming years
3. Traditional market demand is declining, with emerging markets becoming the main players
Affected by inflation and the international environment, the traditional foreign trade markets in Europe and America have experienced a significant decline in import volume this year. The demand of emerging markets, such as the the Belt and Road countries, is growing rapidly. In addition, the same is true of Southeast Asia, Latin America, Africa, the Middle East and other markets. Therefore, in 2024, it is best for foreign traders to layout multiple markets to reduce the risks brought by a single market.
4. The demand for traditional categories is declining, while the new three categories continue to grow
The new three types of foreign trade are electric manned vehicles, lithium batteries, and solar cells. The concept of “New Three Types” reflects the optimization and transformation of China’s foreign trade structure, shifting from traditional products such as clothing, home appliances, and furniture to products with higher technological content and added value. The decline in demand for traditional categories and the increase in demand for new energy categories are also major trends in the development of the foreign trade industry.
5. The rise of social e-commerce
Social media has become an indispensable part of people’s lives, and using social platforms to promote and advertise one’s products has also become a major trend in cross-border e-commerce. At present, major giants are all laying out social e-commerce, for example, Amazon recently cooperated with Facebook and Instagram. Therefore, whether it is cross-border e-commerce or traditional foreign trade, they should give sufficient attention to social media.
6. Brand building is more important
The current international situation is turbulent and the risks are increasing. For foreign traders, building their own brands can not only increase profit margins but also enhance their ability to resist risks. So for foreign trade professionals, building a foreign trade website is still necessary because it will be more conducive to brand building.
7. Localization of supply chain
In recent years, consumers have become increasingly concerned about the source and quality of products, while various countries, especially emerging markets, are committed to protecting local industries, which often poses many obstacles to foreign trade. So if we can achieve partial localization of the supply chain, on the one hand, it will better meet consumer needs, enhance product competitiveness, and on the other hand, it can also avoid some risks.
In short, foreign trade enterprises need to make countermeasures in digital transformation, diversified markets, brand building, green environmental protection, and sustainable development. Foreign trade enterprises need to constantly innovate and adapt to market changes to stand undefeated in fierce market competition.
Post time: Aug-09-2024