eBay has launched a joint venture with Citic Private Equity Funds Management firm Orange Connex Holding to launch a service called Orange Connex (OCL) that will make it easier for ecommerce merchants in China send goods more efficiently to Europe and the Americas. OCL has already launched SpeedPAK which offers as a new shipping programme through eBay geared towards cross-border selling and ecommerce sellers based in China.
The SpeedPAK service currently offers delivery from China to the USA in 8 to 12 business days. New services set to launch in the next 3 months will offer a similar service to the United Kingdom, Australia, Italy, France, Spain and Germany.
Our investment in OCL, and the launch of SpeedPAK are of great significance as it enables end-to-end management of shipping processes and greatly enhances the buyer experience. In the future, more buyers around the world can enjoy high-quality products with great prices from China in a more convenient and faster way.
– John Lin, eBay global VP of international cross-border trade
Plenty of UK merchants and Tamebay readers are already frustrated with eBay and Amazon competition from Chinese sellers who don’t play fair and, although measures are increasingly being taken by government and HMRC, aren’t paying their honest contributions of UK VAT. So you may be miffed that eBay is making it even easier for trade between Europe, America and China with this logistics deal.
But, equally, China is a growing and lucrative marketplace and the traffic of goods is by no means one way. Chinese consumers are looking west to buy too. Both Amazon and Alibaba, via TMall, have already put in place schemes for expedited shipping similar to this.
But what is not clear, at this stage, is how this might practically be utilised by merchants and so we will watch this space to see how the partnership develops over time.