China’s e-commerce market will reach $1.1 trillion in 2018, making it the world’s first trillion-dollar e-commerce market. China’s online
retail market is expected to hit $1.8 trillion in 2022, buoyed by local tech titans Alibaba and JD.com, according to a report by Forrester. Chinese online retail market will be more than double the size of the US market, which will reach $713 billion in 2022 and 10 times larger than Japan at $159 billion.
China now accounts for 83% of all online retail sales in the Asia Pacific region. On November 11, 2018, Alibaba set a record 213.5 billion yuan (US$30.8 billion) in gross merchandise value for its flagship 24-hour retail event, a 27% increase over last year.
China’s digital economy has experienced massive growth over the last decade. About 10 years ago China accounted for less than one percent of the global e-commerce market; today its share is 42%. In comparison, the United States’ share of the market is 24%, down from 35% in 2005.