Shanghai is getting ready to enhance its electronic ports system to boost trade and provide better services to international companies.
Thanks to the system, imports can be out of Shanghai's Free Trade Zone and ready for the market in less than five hours, which used to take days for customs clearance.
In this way, Shanghai is able to keep up with the workload and remain the busiest port in the world. Also, the e-ports system has proved a major boost for the city's trade.
Shanghai port/ CFP Photo
"The system can save time and cost for not only local companies, but even inland companies who just need to provide the declaration one time and get the feedback from the one-stop window," according to Li Li, a trade specialist with the Asia-Pacific Model E-port Network.
Shanghai aims to build a network of e-ports among Asia-Pacific countries this year, filling the gap left by the US’s withdrawal from the Trans-Pacific Partnership.
The full implementation of connecting e-ports across the region can save up to 15 percent of trading costs. It will also make Shanghai a more attractive base for international companies under pressure from rising protectionism in the US and Europe.
“We have the TFA, the Trade Facilitation Agreement, and Shanghai free trade zone. It is now considering how to satisfy the requirements of TFA and to further improve the facilitation,” said Li.
Li added that many of the trade companies she knew have been talking about moving their logistics into Shanghai, but she could not reveal more details.
In 2016, Shanghai made close to 3 trillion yuan from trade, up 2.7 percent from the previous year. The city accounted for 11.8 percent of China's trade in 2016, up from 11.4 percent.
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