Guangzhou and Shenzhen were listed as the first batch of 20 cities in a pilot program for the modern commercial distribution system, which was announced by the Ministry of Commerce on June 10.

The pilot program aims to prioritize cities with a strong foundation for work, a solid driving force, and great potential for development. The goal is to build cities that integrate urban and rural development, have strong radiation effects, and provide reliable supply chains. The pilot program is closely linked to the country's major regional strategies, main logistics lines, and modern industry clusters.

The first batch of cities includes Tianjin, Shijiazhuang, Dalian, Harbin, Shanghai, Hangzhou, Ningbo, Hefei, Fuzhou, Xiamen, Nanchang, Jinan, Qingdao, Zhengzhou, Wuhan, Guangzhou, Shenzhen, Chengdu, Xi'an, and Yinchuan. The central government will provide financial support to the selected cities.

China has worked out plans for a modern distribution system over the 14th Five-Year Plan period (2021-2025), aiming to facilitate improvements in the flow of goods and resource factors; commercial and logistics facilities; domestic and international distribution networks and service systems; transportation capacity; financial support; emergency response; and green development.

According to the plan, by 2025, China expects distribution costs to decrease and the modern distribution system to become more efficient, meaning the sector will play a more important role in the economy.

The modern distribution system is projected to be completed by 2035, placing China among the leaders in terms of distribution efficiency and quality and providing efficient support for developing a modern economic system.