(Yicai Global) April 8 -- China will postpone its leading foreign trade event, the Canton Fair, to late June and host it online as the country adds 46 new pilot zones to support cross-border trade and investment, according to the State Council.

The rapid spread of Covid-19 has had a huge impact on the global economy and international trade and investment, the cabinet said following an executive meeting yesterday. Hosting the Canton Fair online will create a weatherproof platform for negotiations and procurement between Chinese and overseas merchants, it added.

China will also add more cross-border e-commerce pilot zones to its existing 59 to boost foreign trade in areas hit by the pandemic. It will also introduce new policies governing value-added, consumption and corporate income tax in the zones to help companies build and share warehouses overseas.

Many foreign companies have started selling via livestreaming and focusing on domestic rather than overseas sales, the 21st Century Business Herald reported. China hopes to improve the capacity of China-Europe rail links and other freight channels and handle sea and air shipments to support the international supply chain, it was said at the State Council meeting.

Founded in 1957, China has held the Canton Fair 126 times so far. It is the oldest, biggest and broadest trade event the country hosts and welcomes the most diverse range of attendees by nationality when it takes place every spring and autumn.

Editor: James Boynton