Cargo Holdup: Guangzhou e-commerce warehouses receive subsidies

央视国际频道CGTN 4月30日报道 Guangzhou has given out 12 million yuan, or 1.8 million US dollars, worth of warehouse rental subsidies. It's among support measures to help e-commerce logistics providers reduce costs. Huang Fei finds out why they needed the money and what else can be done to help them out of a jam. 

If you buy something on a Chinese e-commerce site, chances are your parcel will be dispatched from this warehouse.

This is a customs bonded area where imported goods are stored, checked and sorted before being sent to customers across China. But boxes have been piling up and storage space is tight.

CHIU CHUN-HUNG（赵俊雄副教授）, Associate Professor of School of Business, Sun Yat-Sen University, "One of the biggest advantages of doing cross-border e-commerce in Guangzhou and the Greater Bay Area, is that we have many ways to send goods in and out. There are several international airports, container ports, and a well-developed rail and road network. We also have entire industrial clusters, which means we can fulfill orders very quickly."

In the longer term, analysts say the government needs to facilitate better information sharing. This involves creating a 5G and big data-driven platform that gives easy access to crucial updates, including shipping schedules and warehouse availability.