Be Ready for China's New E-Commerce Law


On January 1, 2019, China’s E-Commerce Law came into effect. This new legislation will undoubtedly impact the global market, as its broad scope applies to large e-commerce platforms and to the small individually owned online shops alike.

China’s e-commerce market is gigantic. The World's Economic Forum recently reported that while about ten years ago China accounted only for less than one percent of the global e-commerce market; today its share is forty two percent. McKinsey Global Institute advised that China handles more transactions per year than France, Germany, Japan, the United Kingdom and the United States combined. [if !supportLineBreakNewLine]

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China’s E-Commerce Law imposes heavy penalties; some violations expose the violators to confiscation of illegal income and fines of up to two million yuan (approximately USD 290,000). I have listed below a short incomprehensive list of the new duties imposed by China’s New E-Commerce Law:

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No doubt, that China’s digital domination shakes the status quo and requires a deep focus on the great opportunities offered in the Chinese market. If your company conducts any business activities of sale of goods or provision of services through the internet and other information network in China, it is important that you’ll formulate a China’s compliance plan.

Attorney Amit Ben-Yehoshua is a foreign expert in Chinese law. Attorney Ben-Yehoshua completed his Master Degree in Chinese Law at Tsinghua University of Beijing, and served as the Vice Chair of the China Committee of the American Bar Association. Amit is licensed to practice law in California and Israel, and is a member of the foreign panel of arbitrators of China’s largest arbitration Commission, CIETAC. Attorney Ben-Yehoshua can be reached at amit@amit-law.com.

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