As one of the most dynamic digital economy markets in the world, Japan's cross-border payment sector has witnessed vigorous development and great potential under the impetus of multiple factors.
The market is booming and the demand is continuously rising.
Relying on its status as a global economic powerhouse and the steady growth of international trade, the cross-border payment market in Japan is highly dynamic. The pursuit of high-quality products and services by a large consumer base has led to an increasing demand for cross-border payments, giving rise to a variety of payment methods:
Credit card
It is widely used in Japan. Mainstream brands such as Visa, MasterCard and JCB are widely accepted globally and have become reliable options for
cross-border transactions, providing a convenient payment channel for international trade in goods and services.
E-wallet
Payment platforms such as PayPay and LINE Pay have gained great popularity and are constantly expanding their service scopes, providing
convenient and secure guarantees for both online and offline payments, and meeting the payment needs of consumers in various scenarios.
Bank transfer
As a reliable method for large transactions, however, compared to other payment methods, it is slower and more expensive. It is more suitable for
large-scale cross-border transactions where the requirement for fund security is extremely high.
Convenience store payment
The unique online shopping payment method in Japan allows consumers to complete the payment at convenience stores, providing a cash
payment option for those who are not accustomed to online payment, thereby enhancing the inclusiveness of payment methods.
Cross-border QR code payment
As Japan plans to achieve systematic interconnection with ASEAN countries starting from 2025, cross-border QR code payment will further develop.
This will make cross-border transactions more efficient and convenient, and promote trade exchanges among regions.
Government policies facilitate development
Consumption Tax Reform
Since October 2019, Japan has imposed an 8% consumption tax on overseas e-commerce sales. Starting from April 2025, digital services such as e-
books and software subscriptions will also be included in the tax collection scope managed by the platform. Foreign sellers are required to
withhold and remit approximately 10% of the tax, aiming to create a fair competitive environment for domestic and foreign enterprises.
Streamline customs declaration process
The Japanese customs has launched an electronic declaration system, which has accelerated the customs clearance process for cross-border
e-commerce goods, improved the circulation efficiency of the goods, and reduced the operating costs of e-commerce companies.
Free of charge for cross-border remittance fees
To promote international financial exchanges and cross-border e-commerce, Japan has implemented policies that exempt transaction fees
for cross-border remittances through designated channels. This has reduced the cost of cross-border transactions and stimulated the growth
of cross-border transactions.
The function of Hkpay
Hkpay can play a significant role in the cross-border payment market in Japan by offering secure, efficient and diverse payment solutions. Its advantages include:
Multi-currency support
Supporting multiple currencies, it meets the needs of merchants and consumers in different countries and regions, eliminating the inconvenience
caused by currency exchange.
Integration of local payment methods
Support popular local payment methods such as PayPay and LINE Pay to enhance the payment experience of Japanese users and increase their
trust in the payment services.
Strong security measures
Implement advanced security technologies to protect transaction information and funds, ensuring the security of cross-border transactions, and
enabling enterprises and users to use the services with confidence.
Professional customer service
Provide professional and efficient customer service to solve the problems and inquiries of enterprises and users, and enhance the quality of service
and user satisfaction.
In summary, the cross-border payment market in Japan is full of opportunities. With the support of government policies and the growing demand for cross-border payments, it has huge potential for development. HkPay, leveraging its strong capabilities and innovative spirit, is fully capable of standing out in this market and contributing to its growth.