Chinese online platforms are growing rapidly in the South Korean market... South Korean government and distribution industry are looking for countermeasures

The South Korean government held a meeting with domestic online distribution companies to develop measures to cope with the expanding market share of Chinese platforms. Chinese online platforms are active in the Korean market
It is expanding into the market. Alibaba Group's AliExpress and mail-order app Tem are said to be attracting Korean consumers by promoting ultra-low-priced products made in China.
On the 14th, the South Korean Ministry of Trade, Industry and Resources held a meeting with officials from online distribution companies such as G Market, Coupang, 11th Avenue, and SSG.com at the Korean Chamber of Commerce and Industry in Jung-gu, Seoul.
It was held. Opinions were exchanged regarding the impact that the expansion of overseas platforms will have on the domestic online distribution industry and countermeasures. Recently, the Korean distribution industry has launched ultra-low-priced products and unprecedented discounts.
We are facing the ripple effects of Chinese online platforms that have been launched. According to the app/retail analysis service “WiseApp-Retail-Goods”, as of November last year,
The number of Ali Express app users in South Korea is 7.07 million, more than doubling from the same month last year (3.43 million), showing rapid growth.
In response, the Korean government has taken steps to prevent the competitiveness of domestic online distribution platforms from declining and to
・A roundtable meeting was held to explore industry-level countermeasures. The meeting emphasized that the survival of South Korean small businesses and manufacturers is being threatened by the growth of Chinese platforms with ultra-low price competitiveness.
We shared the understanding that In particular, there are voices saying that the position of purchasing agents who receive products through Chinese wholesale sites and resell them in the Korean market is weakened, and that domestic sellers are instead subject to reverse discrimination.
ing. When domestic sellers purchase and sell products from China, they are subject to various customs duties, additional taxes, and KC certification costs, but Chinese platforms are not subject to these regulations.
Professor Jung Yong-sung of Dankuk University, who took on the topic, said, ``Strengthening the brand power of domestic small and medium-sized manufacturers,'' ``Strengthening the consumer protection system,'' ``Eliminating reverse discrimination among domestic sellers,'' and ``Improving the capabilities of individual sellers.''
``strengthening'' as the main countermeasures. Professor Chung said, ``We need to support the quality control capabilities of domestic small and medium-sized manufacturers and attract the interest of domestic consumers.''
We need to prevent damage to consumers from occurring and create a legal basis for dealing with the damage." In addition, ``Domestic businesses and overseas businesses will be subject to the same regulations regarding customs duties, value-added taxes, etc.
We need to prepare plans for improving the system and focus on finding export items that can be used in overseas markets."