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countries for ecommerce business
10 Best Countries for Opening an E-Commerce Business

1. China

2. Japan

3. Singapore

4. South Korea

5. Hong Kong

6. United States

7. Canada

8. United Kingdom

9. Switzerland

10. Germany

Key Takeaways

The global e-commerce market continues to grow quickly, with B2C revenue forecast to reach about USD 5.5 trillion by 2027 on approximately 14.4% annual growth.

Growth is supported by better logistics, faster cross-border shipping, and widespread mobile and digital payments.

The best markets combine strong demand, reliable delivery networks, trusted payment methods, and clear business rules.

Global e-commerce is still growing, but totals and growth rates vary depending on whether a source is measuring retail e-commerce, total e-commerce, or B2C revenue.

The International Trade Administration’s forecast global B2C e-commerce revenue will reach USD 5.5 trillion by 2027 at about 14.4% CAGR, with leading segments including consumer electronics, fashion, furniture, toys/hobby, biohealth pharmaceuticals, media and entertainment, beverages, and food.

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1. China

China is one of the world’s largest e-commerce markets and a major destination for online sellers. 

Further, China’s e-commerce market reached roughly CNY 15.4 trillion (USD 2.2 trillion) in 2023 and is projected to approach CNY 25.4 trillion (USD 3.6 trillion) by 2028.

Growth is driven by strong platform ecosystems and continued consumer shift toward online shopping. 

Taobao/Tmall and JD.com remain major players, while Pinduoduo has gained significant ground.

2. Japan

Japan is one of the world’s largest e-commerce markets. 

The International Trade Administration notes that Japan’s Ministry of Economy, Trade and Industry (METI) estimated the B2C e-commerce market at USD 176.8 billion in 2023 (up 9.2% year on year), with online sales making up 9.4% of total merchandise sales.

Industry forecasts also point to continued expansion, with GlobalData projecting Japan’s e-commerce market will reach JPY 29 trillion (about USD 200–210 billion) in 2025.

Japanese shoppers research carefully and expect accurate product descriptions and reliable delivery. 

Key marketplaces include Rakuten, Amazon Japan, and Yahoo! Shopping.

3. Singapore

Singapore is a popular base for Southeast Asia expansion thanks to its pro-business infrastructure and clear rules for company setup. 

The headline corporate income tax rate is 17%, and many companies can reduce their effective rate through IRAS tax exemption schemes (eligibility varies).

To incorporate a local company, you must appoint at least one locally resident director.

It also works well as a regional operations hub because Southeast Asia’s digital economy has exceeded USD 300 billion in GMV.

4. South Korea

South Korea is one of the most digitally advanced e-commerce markets, with shoppers strongly mobile-first and delivery-driven. 

Trade.gov reports domestic online purchases reached USD 180.4 billion in 2022 (up from USD 168.5 billion in 2021).

Mobile purchases were USD 134.3 billion in 2022, and mobile e-commerce accounts for 74.4% of the total e-commerce market value.

Competition is intense in logistics, with retailers pushing same-day and quick delivery to differentiate.

5. Hong Kong

Hong Kong is one of the best spots for cross-border e-commerce in Asia, with strong logistics and easy access to regional markets. Industry estimates put Hong Kong’s e-commerce market at USD 23.5 billion in 2024 and USD 26.15 billion in 2025.

In October 2025, online sales accounted for 14.6% of total retail sales value, with online retail sales provisionally estimated at HKD 5.2 billion.

From an operations standpoint, Hong Kong is attractive for regional sellers because it taxes profits on a territorial source principle and does not impose VAT/sales tax.

ecommerce in hong kong

6. United States

The United States is one of the world’s largest B2C e-commerce markets, with deep channel options across marketplaces and direct-to-consumer platforms (Amazon, Walmart Marketplace, the Shopify ecosystem, and social commerce). 

UNCTAD notes that China and the United States are the world’s largest B2C markets.

Amazon remains the dominant online retailer in the US and is forecast to account for just over 40% of US retail e-commerce sales, making it a critical channel in many categories.

Plan early for sales tax compliance across states, especially if you sell on multiple channels. In states with sales tax, marketplace facilitator laws generally require marketplaces to collect and remit tax on marketplace sales, while sellers remain responsible for tax on non-marketplace channels such as their own website.

7. Canada

Canada is a stable, high-income market with strong online demand.

EMARKETER/Insider Intelligence projects retail e-commerce will account for 13.0% of total retail sales in 2025.

To compete effectively and stay compliant, focus on two areas:

  • Localization: Prepare bilingual customer-facing content where relevant, especially for Quebec.
  • Sales tax: Apply the right GST/HST based on Canada’s place-of-supply rules, and account for any provincial requirements depending on what and where you sell.

8. United Kingdom

The UK is a large, mature e-commerce market with consistently high online penetration.

To track channel mix and seasonality, use the Office for National Statistics (ONS) time series for internet sales as a percentage of total retail sales.

If you sell into the UK, plan early for VAT and post-Brexit customs on cross-border orders. HMRC has specific rules for overseas goods sold directly to UK customers, including point-of-sale VAT obligations for consignments valued at GBP 135 or less.

9. Switzerland

Switzerland is a high purchasing power market with reliable logistics and steady online demand. ECDB reports monthly revenues of USD 1,717m in November 2025, highlighting strong seasonal peaks.

For go-to-market planning, Switzerland is often approached as part of the DACH region (Germany, Austria, Switzerland), so German-language localization and DACH-ready operations are common for brands expanding in Central Europe.

10. Germany

Germany is Europe’s largest economy and a core e-commerce hub, with high buyer expectations on pricing transparency, invoices, and delivery performance. BEVH-reported figures showed e-commerce sales rising 1.1% in 2024 to EUR 80.6 billion (first annual growth since 2021).

For 2025, a separate widely cited benchmark is that the top 1,000 online stores generated EUR 84.7 billion in net online sales (this is not always the same as total market size).

Moreover, for cross-border sellers, plan for strict consumer-rights compliance (including the EU-standard 14-day right of withdrawal for distance sales), robust customer support, and reliable shipping.

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Choosing the Best Country for eCommerce Business

The best country for your e-commerce business is the one where you can consistently meet delivery promises, handle VAT or sales tax and returns without friction, and support local payment preferences that customers already trust. 

Start with one or two priority markets, validate your unit economics (shipping, duties, taxes, chargebacks, and return rates), then expand once margins and operations are stable.

Air Corporate can help you set up a Hong Kong company, coordinate cross-border payments, and manage ongoing compliance so you can stay focused on growth.

FAQs

There’s no single “best,” but Hong Kong, Singapore, and the UAE are common choices. Foreign ownership is generally possible, but don’t promise “everything online” or “no need to move” because banking and compliance may require extra steps. Singapore also requires at least one locally resident director.

If you mean government filing fees, the UK is GBP 50 online (Companies House). New Zealand’s fees are low too, but totals depend on GST and name reservation.

“LLC” is a US term. Comparable limited-liability forms include UK Ltd, Hong Kong “Limited”, Singapore Pte Ltd, and Switzerland GmbH—all generally provide limited liability, subject to exceptions (e.g., guarantees/misconduct).

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