Fengxian Comprehensive Bonded Zone in Shanghai has evolved from simple export processing to a diversified range of bonded services. Since 2017, it has introduced 17 measures to foster innovation and has been recognized as a cross-border e-commerce demonstration park.

The zone is developing an international trade in services platform and three centers for bonded research and development and design, testing and repair, and display and trading.

Working with Customs and other authorities, the zone has helped businesses overcome regulatory and operational barriers in bonded repair and cross-border e-commerce.

A 2024 policy allows domestic goods covered by the zone's comprehensive bonded zone repair product catalog to enter the zone for repair before being exported directly overseas. Following the policy's introduction, a company in the zone completed Shanghai's first direct overseas export of domestically produced goods after bonded repair. Previously, goods brought into the zone from elsewhere in China for repair had to be returned to their place of origin rather than exported directly overseas.

In cross-border e-commerce, the zone has introduced an exhibition-to-bonded model that allows exhibits from the China International Import Expo to be transferred to bonded warehouses for subsequent sale through the Meigu Meigou cross-border shopping platform.

The zone opened a dedicated warehouse for cross-border e-commerce returns in 2021 and introduced bonded e-commerce retail exports under customs supervision code 1210 in 2024. It has also established e-commerce operations involving Tmall Global, Taobao Global and Xiaohongshu, and is working toward enabling orders from multiple platforms to be fulfilled from a single warehouse.

The new bonded repair model has reduced labor costs by about 5 percent and shortened logistics turnaround times by 15 days, helping businesses expand into international repair services.

The exhibition-to-bonded model lowers market-entry costs for overseas companies and connects exhibitions, bonded warehouses, and e-commerce platforms in an integrated ecosystem.

Looking ahead, Fengxian Comprehensive Bonded Zone plans to expand its bonded repair services, encourage companies to move into higher value-added processing trade, and develop a regional cluster for the bonded repair industry.

It also plans to extend the exhibition-to-bonded model to more international expos and strengthen its international trade in services platform to support industrial development in Oriental Beauty Valley.

Source: Shanghai Fengxian Media Center