13 December 2018 – International Merchandise Exchange & Exhibition Co., Ltd. (IMX), a subsidiary of Chinese leading conglomerate King Wai Group (KWG) founded by Dr King Wai Chan, today signed a Letter of Intent (LOI) with Thailand’s Ministry of Commerce to form a strategic cooperation that will immediately open access for 48,000 Thai SMEs to over one billion consumers in China.
Under this strategic cooperation, Thai SMEs will benefit from IMX’s first-of-its-kind complete solution that integrate with Bonded warehouse, merchandise exhibition, port services, custom clearing and sales channels both online and offline. The company operates four exhibition centers across China – Tianjin, Shanghai, Shenzhen and Chengdu. The Shanghai government has recognized IMX center as a 6+365 Permanent Exhibition and Trade Platform. At the same time, IMX’s subsidiary KJT.com is the leading and one of the very first cross border e-commerce platform that operated in China. With the group’s integrated cross-border trading platform, Thai products will have the potential to reach one billion people within 2 hours.
“King Wai Group operates according to the motto that ‘responsibility creates value, mission inspires people,” said Mr. Henry Chan, Vice Chairman, Group CEO of King Wai Group and President of IMX. “In line with this vision, we are passionate about creating innovative solutions that empower people and businesses in the countries in which we operate, including Thailand.”
Since the first China International Import Expo (CIIE) held in November, China has opened up the market for foreign goods by implementing new policy and preferential tax benefits. Being recognized as an official Foreigners Service Point of the Shanghai Pilot Free Trade Zone for the CIIE, IMX, as recognised as the first pilot of trading platform, provides the most efficient and effective platform with easy market access to benefit from the new policy and regulations from Chinese government. SMEs can benefit from this platform and lower tariff.
“Considering China’s Belt & Road Initiative (BRI), the simplified import rules and regulations, Mr. Xi Jin Ping Chinese President had announced the government’s forecast that China will import $30 trillion worth of goods in the next 15 years, we believe huge opportunities are waiting for Thai business operators,” said Chan.
Chan noted Thai products are highly regarded in China. “Thailand has high quality products loved by Chinese people,” he said. “When combine our pioneering cross border e-commerce and supply chain business model with Thailand’s great products and benefits from new China’s tax and trade policy, we are about to create value to the economy, support the transformation into Thailand 4.0 and facilitate Thailand GDP growth. Especially, IMX will help drive Thailand GDP up by facilitating export growth. We wish to thank Thailand’s Department of International Trade Promotion and Ministry of Commerce for the enhanced cooperation that will benefit people and businesses in both Thailand and China.”
According to the newly signed Letter of Intent, KWG will source high-quality products from Thailand with assistance from Department of International Trade Promotion (DITP) under Ministry of Commerce in facilitating this strategic cooperation.
This provides excellent opportunities for Thai SMEs, considering that Thailand’ s Internet economy is ranked No. 2 in Southeast Asia, worth US$12 billion (394 billion baht) in 2018 out of a regional total of US$72 billion, according to a Google-Temasek report. The local Internet economy contributes 2.7% of Thailand’s GDP.
In addition, IMX’s innovative FTAX will provide an insight on taxes, allowing both Thai SMEs and Chinese buyers and sellers to make better strategic decision and planning.
Ms. Banjongjitt Angsusingh, Director-General of Department of International Trade Promotion, said the newly signed deal will give a welcome boost to sales of local products in China. “King Wai Group’s innovative cross border e-commerce platforms will increase Thai SMEs’ access to one of the world’s largest markets, China,” Banjongjit noted. “This cooperation is a major tool to promote Thai products and services with Thailand’s Trust Mark, a symbol of quality. At the same time, this is a great opportunity for both parties to exchange knowledge and expertise that will boost trade collaboration between the two countries.”
The signing ceremony follows a successful trade mission from DITP to visit the Thailand Pavilion at KWG’s International Merchandise Exchange & Exhibition (IMX) in Shanghai in November 2018. The visit and positive market responses for Thai products showcased at IMX, especially spa products and decorative items, have led to this signing.
In addition, KWG will share its experience and expertise in innovative business practices, cross border e-commerce and effective supply chains with the Thai government in order to enhance Thailand’s business connections with China.
“This strategic cooperation will provide a bright opportunity for Thailand and China to empower Thai entrepreneurs by providing a comprehensive range of services to overseas and local businesses,” Mr. Chan stressed. “This means that the Thai-Chinese business synergy will be enhanced and hence create a stronger economy for all.”
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About King Wai Group
King Wai Group was founded in the 1980s by Dr. Chan King Wai in Hong Kong. China’s booming and vibrant economy has created innumerable opportunities for corporations. Taking advantage of these opportunities as well as China’s reform and opening up policy, KWG has strongly integrated itself in the rapid development of China’s overall economy with sharp strategic vision. KWG is one of the first Hong Kong funded enterprises to invest mainland China. With the spirit of “responsibility creates value and mission inspires people”, KWG has expanded its commercial domain and gradually enter diversified business areas. KWG is a pioneer in this era of globalization and multi-industry layout, and has shaped a strategy for developing four core business sectors including real estate, finance, Bauhinia Valley and International Merchandise Exchange & Exhibition (IMX). It has a strong foothold in Beijing-Tianjin-Hebei area, Yangtze River Delta, Guangdong-Hong Kong-Macao Greater Bay area, the Great Western Region, Europe and ASEAN regions.