NPC deputy: B&R initiative a strategy to avoid future trade risks

Zhang Jianhua, a deputy to the National People's Congress and chairman of Hiking International Co., Ltd [Photo/China.org.cn]

Zhang Jianhua, a deputy to the National People's Congress, advised Chinese trade companies to explore alternative markets along the Belt and Road to cope with risks and uncertainties the Trump administration might bring to China-U.S. trade ties.

Zhang, also chairman of Hiking International Co., Ltd, a trade conglomerate based in Qingdao, Shandong Province, explained that, under the Belt and Road initiative, traditional foreign trade companies can build a cross-border e-commerce platform to upgrade their business modes in line with the "internet plus foreign trade" strategy set by the central government.

As early as August 2015, Hiking International entered into partnership with Chinese cross-border e-commerce marketplace DHgate.com to build a cross-border trade services platform.

In the latest flurry of efforts to gain a foothold in e-commerce and engage in the Belt and Road initiative, the company has planned to purchase two e-commerce platforms.

Zhang told China.org.cn that Hiking International has been fostering markets in countries and regions along the Belt and Road such as Malaysia, Indonesia, the Middle East and Russia.

Exploring these new markets could offset future losses incurred by the new Trump administration, he argued.

He added, "Taking part in the Belt and Road initiative can bring unprecedented opportunities for foreign trade companies, and in return, such opportunities will add a new dimension to the initiative."

He warned that since cross-border e-commerce is a novel business mode and has grown very fast, many irregularities will emerge during its development.

He hopes the government will take action to regulate the new mode to let it forge ahead on a sound track.