SME  /  E-COMMERCE

By FedEx | First published: December 15, 2023    Updated: December 22, 2025

Europe has a wealth of opportunities for Asian e-tailers with global ambitions. Here’s how you can turn consumer demand into cross-border growth.

• Europe offers strategic benefits for e-commerce businesses expanding abroad: the EU single market, strong e-commerce growth, and a well-developed logistics infrastructure.
• As more European online shoppers embrace made-in-Asia goods, now’s the moment for retailers to tap into lucrative demand.
• Asian SMEs can succeed in Europe by picking the right entry point, understanding local trends and regulations, and working with a reliable logistics provider.

Today, it’s easier than ever for small businesses to take big steps on the world stage. The rise of e-commerce means retailers can reach new customers across continents in one click. At the same time, global logistics providers continue to simplify how we send goods around the world. The only question is, where do you want to take your business next?

If you’re an Asian SME eyeing cross-border expansion, Europe offers rich opportunities to reach a larger customer base and accelerate your e-commerce growth. 

As the world’s largest single market, the European Union (EU) has plenty of untapped potential: a varied consumer base, a growing appetite for online shopping, and a strong shipping network from Asia to Europe.

Why entering the European market is a smart business move

With a population of 450 million, the EU offers a massive and diverse group of potential customers for businesses expanding internationally. 

What’s interesting about the EU is that its 27 member countries operate as a single market. Goods can move freely from one member state to another without customs duties or restrictions on quantity. This means that once you establish your business in one country, you can easily move your products across borders and expand around the region. 

Europe’s e-commerce sector is on track for robust growth, offering rich pickings for Asian e-tailers. The continent is now home to three of the 10 biggest e-commerce markets globally: the UK, Germany, and France. Europe’s online retail turnover is also set to grow by 7% in 2025 – a promising sign that the market isn’t yet saturated. In emerging markets like Eastern Europe, e-commerce turnover has grown by as much as 18% in 2024, highlighting strong momentum. 

When it comes to shipping, you can count on reliable cross-border logistics solutions to get your goods to customers quickly. At FedEx, for instance, our network can deliver from Asia to Europe’s major markets in as fast as two days. Efficient shipping enables your business to compete effectively with local retailers and provide a seamless customer experience.

Demand for made-in-Asia products is on the rise

Beyond these strategic advantages, Europe’s growing appetite for made-in-Asia goods makes it a promising destination for e-commerce expansion. Here’s what’s driving European consumers to look east when shopping online:

Lower prices

Enticed by lower prices, around 50% of European consumers now regularly shop from overseas retailers. Temu’s meteoric rise in Europe is a testament to this. Known for its huge variety of affordable goods, the Chinese online retailer attracted an average of 115.7 million European users per month in the first half of 2025 – over a quarter of the EU’s population.

Specialized products

Asian brands are at the top of their game in various sectors. Chinese companies, for example, are shipping high-tech goods like smartphones and laptops to Europe in record volumes. 

As more European shoppers make eco-conscious choices, Asian businesses that prioritize sustainability are also gaining a competitive edge. For instance, sustainable fashion made in Asia is increasingly making waves in Europe.

How to expand your e-commerce business from Asia to Europe

As more European shoppers warm to Asian brands, now’s the moment for SMEs to turn consumer interest into business growth. Keen to kickstart your Europe expansion? Here are four tips to create a winning market entry strategy.

1. Pick a strategic entry point

Rather than taking on the whole region at once, choose one market as a starting point to learn what shoppers value and refine your fulfillment process. FedEx’s Asia-Europe Trade Report reveals that the UK, Germany, and France are the top gateway markets for APAC businesses entering Europe. 

To pinpoint the right target market for your first foray into Europe, consider a few factors. The first is language: what resources do you have to invest in localizing your content and user experience? If your brand is English-speaking, markets like the UK or Ireland offer a convenient starting point where English is the language of business.

Another consideration is the size of your industry’s e-commerce market. For instance, the UK is a hotbed for fashion retail, with online sales of fashion items accounting for nearly a third of its e-commerce revenue. Researching your industry’s fastest-growing online markets can give you clues for selecting your target export market.

Since your first European market can be a launchpad into the rest of the region, looking for a country with a strong logistics infrastructure can help you go far. For example, Germany is a popular hub for operations, ranking among the top three intra-EU export partners for 25 EU countries.

2. Brush up on the regulations

The EU’s business regulations can vary significantly from those in Asia. Identify the key regulations that will impact how you do business in Europe, such as:

EU Deforestation Regulation (EUDR): Designed to combat biodiversity loss, the EUDR requires exporters to prove their products are deforestation-free. Products covered by this regulation include palm oil, cattle, soy, coffee, cocoa, timber, and rubber, as well as derivatives such as leather and wooden furniture.

Consumer protection laws: The region has stringent measures on product safety and strong consumer rights. This includes the right to a minimum two-year guarantee on new goods bought at no extra cost, and the right to cancel orders and get a full refund within 14 days.

General Data Protection Regulation (GDPR): Businesses need to demonstrate GDPR compliance by implementing data security measures, maintaining detailed documentation of the data they collect, and getting informed consent from data subjects.

Value-added tax (VAT): While 15% is the EU’s standard minimum VAT rate, each member country has the freedom to set its own rate, which will impact your product pricing. Current rates range from 17% to 27%, depending on the country you choose to register your business in for VAT.

3. Understand local buying trends

What sells well in Asia might not do the same in Europe. Make sure your product is a hit by doing a deep dive into your target market’s unique behaviors and buying trends.

For instance, fashion goods from Asian brands represent a top category for European online shoppers. According to Seabury, 15,200 metric tons of consumer fashion goods were exported in 2023 from Vietnam to Europe.

If you’re planning to break into a particular market, check out the websites of your biggest industry competitors and research their bestsellers. What product groups perform best? Which selling points attract European shoppers?

Once you have a deeper understanding of your audience, diversify your offerings to match. For example, if you discover high demand for sustainability in your industry, experiment with eco-friendly versions of key products or explore sustainable packaging.

4. Choose the right logistics partner

Your ability to provide fast shipping can make or break your business. 66% of German consumers say fast delivery is important when choosing where to shop online, while two in five UK consumers have abandoned carts due to slow shipping and other delivery issues. To succeed in Europe, small businesses need to work with a global logistics provider that can ensure timely deliveries.

Look for a logistics provider with the infrastructure to offer fast shipping from Asia to Europe. At FedEx, our extensive Asia-Europe shipping network includes two air hubs in the major cities of Paris and Liege, as well as 27 road hubs across the region. Our Asia-Europe air network enables express shipping in just 48 hours, giving you an edge in winning over customers.

We now operate 26 weekly flights between Asia Pacific and Europe, offering e-tailers the flexibility to meet rising customer demand – even during peak seasons. We’ve recently added five weekly flights from China to France and introduced an additional outbound flight from northern Vietnam to Europe, enabling shipments to arrive one day faster.

Unlock cross-border opportunities for your business

Cross-border e-commerce from Asia to Europe is growing fast as shoppers look for better prices and more product options. If your small business has global ambitions, Europe has a wealth of opportunities in store. 

To cross the globe successfully, SMEs need reliable shipping support. FedEx has developed a range of cross-border logistics solutions that empower businesses to streamline operations and connect seamlessly to new customers. Find out more about our shipping capabilities to Europe here.