#China #Shanghai #UnionPay #CPG #QR Code Payments

UnionPay International Launches CPG

On September 16, 2025, UnionPay International announced that the Cross-border Interconnection Gateway (CPG) in China has entered its trial operation phase, which began in late July. Developed over six months, this innovative platform aims to foster inclusivity and accessibility, allowing institutions within and beyond China to achieve interoperability for cross-border QR code transactions.

With the CPG, UrionPay facilitates seamless connections for cross-border payments, providing unified technical interfaces for transaction switching, distribution of cross-border transaction information, and real-time monitoring. This robust infrastructure aims to create a more efficient, convenient, and secure payment experience for users around the globe.

Streamlined Access for Global Partners

The CPG's launch significantly simplifies access for both Chinese and international partners. Institutions in mainland China can use standardized interfaces from UnionPay for direct integration, while partners outside China can connect through UnionPay International. This setup not only enhances cross-border QR code payments between China and the world but also supports local QR code transactions in markets outside China, as well as cross-border payments in those regions.

Significant Advantages for Participating Partners

The CPG offers various benefits for partners implementing cross-border QR code connections:
1. Reduced Costs: Simplified system integration lowers costs and minimizes resource wastage associated with repetitive modifications.
2. Unified Standards: By promoting shared standards for collaboration with overseas wallet providers, the CPG enhances user experience and fuels healthy competition in the global payment ecosystem.
3. Expanded Acceptance: Overseas wallets can gain broader acceptance in mainland China, including via WeChat Pay merchants alongside UnionPay.
4. Centralized Management: A unified information interface handles both inbound payments from international wallets and outbound transactions from Chinese wallets, improving service reliability and security.

Opportunities for Overseas Wallet Operators

By partnering with UnionPay, overseas wallet operators can capitalize on two main aspects:

• - Enhanced Payment Capabilities: They can leverage UnionPay's comprehensive wallet solutions to cater to diverse payment scenarios, including OEM Pay, QR code payments, and in-app payments.
• - Global Partnerships: Operators can tap into UnionPay's extensive global partnership network.

Additionally, UnionPay offers wallet operators card benefits and value-added services tailored to increase user engagement.

Strengthening Payment Ecosystem in China

UnionPay, as a pivotal contributor to the CPG development, has been enhancing QR code interoperability through ecosystem cultivation in recent years. The organization has implemented the Project Excellence initiative, which focuses on refining payment services for international visitors. As of August 2025, this initiative encompasses 1.35 million merchants in key sectors, with 232 aggregated QR code products accepting overseas wallets for payments, along with 168 major online merchants that accept UnionPay cards from abroad.

According to current data, China has experienced a 111% year-on-year increase in the number of transactions using UnionPay cards issued from outside its borders, along with a 29% rise in transaction value.

International Collaborations and Growing Merchant Acceptance

On the international front, UnionPay has actively pursued cross-border QR code interoperability through two simultaneous partnership models—Government-to-Government (G2G) and Network-to-Network (N2N). UnionPay is currently involved in 19 interoperability projects with partners across 19 nations, including Vietnam, Indonesia, Cambodia, and Argentina. As a result, over 11 million overseas merchants are now accepting UnionPay QR code payments, with projections indicating this number will escalate into the tens of millions by year-end. Additionally, more than 170 overseas QR code payment wallets have been integrated into UnionPay's network, spanning 30 countries and regions.

CPG Usage on the Rise

Recent data highlights the swift adoption of the CPG. By September 11, 2025, it recorded 1.981 million transactions totaling RMB 427 million. As China extends its visa-free entry policies, UnionPay's continuing investment in enhancing CPG's infrastructure is expected to be vital for unlocking potential growth in inbound consumption and facilitating global travel and commerce. This solidifies CPG's significance as a cornerstone in international payment interoperability.