ST Fushikang Closes All Cross-Border E-Commerce Operations
ST Fushikang announced that it would close its cross-border e-commerce direct-sales business due to stricter overseas compliance reviews and continuing operating losses.
What are the key facts?
- 1ST Fushikang
- 2Closure of cross-border e-commerce direct sales
- 3Amazon smart-camera business
- 4Overseas compliance and losses
What happened?
According to reports, Shenzhen Fushikang Intelligent Co., Ltd., a company listed on China’s National Equities Exchange and Quotations, has decided to close its cross-border e-commerce operations. The company previously sold smart cameras and other Internet of Things products through overseas online channels including Amazon, while also conducting direct online sales overseas. Citing a company announcement, the report said overseas compliance reviews had become stricter in recent years, cross-border e-commerce operating costs had risen, and the related business had remained loss-making. Based on these operating conditions, the company will divest its overseas online sales channels and halt its cross-border e-commerce direct-sales business. Its future focus will shift to the domestic market, while it will continue to develop Internet of Things products and cloud services. The report also said the company’s market capitalization had fallen to approximately 37.31 million yuan.
What does this mean for cross-border sellers?
The company’s exit shows that businesses on platforms such as Amazon must continuously calculate overseas compliance, after-sales, and channel operating costs, not just sales. A common mistake is treating platform direct sales as an infinitely scalable, asset-light business; uncontrolled costs can weaken cash flow and brand investment. Highest priority: review compliance, after-sales, and warehousing and fulfillment expenses for each site this week, and calculate actual profit separately.