Tencent Follows Alibaba; To Slash Transaction Fees For SMEs

• Chinese social media firm Tencent Holdings Ltd (OTC:TCEHY) looks to reduce transaction fees for small and medium-sized merchants using its WeChat payments system by 10%, Reuters reports.
• The reductions will apply beginning September 1, 2021, and extend to September 30, 2024.
• The merchants need to meet China's classification standards for small and medium-sized businesses to qualify for the reduction.
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• Tencent will also reduce fees on money withdrawals from users' bank accounts.
• On March 2, Alibaba Group Holding Ltd's (NYSE:BABA) food delivery service Ele.me declared reducing its commission fees for merchants in areas affected by the pandemic.
• In February, Chinese regulators ordered online food delivery platforms to reduce service fees.
• Price Action: BABA shares closed lower by 1.55% at $105.43 on Wednesday.