The first border trade zone between China and North Korea was established last Saturday morning in Dandong, Northeast China's Liaoning Province, media reported Monday.
The Guomenwan trade zone, with a total investment of 1 billion yuan ($156 million), and covering a floor area of 24,000 square meters, is scheduled to operate in October, the Xinhua News Agency reported on Tuesday.
Residents living within 20 kilometers of the border can exchange commodities with people from North Korea at the marketplace. Each resident can enjoy duty-free prices for commodities valued less than 8,000 yuan per day.
The business model will be a combination of real economy and E-commerce, as products listed online will be showcased in physical shops and an E-commerce platform will be built to serve customers in different regions.
"Clothes might be a popular choice in the market, as the design process and delivery could be accomplished very fast with E-commerce," Li Guohua, an expert on Asia-Pacific studies at the Chinese Academy of Social Sciences told the Global Times, adding that China-produced phones and televisions are also popular items.
