Shoppers around the world are being encouraged to use smartphones instead of cards to pay for in-store purchases. Alibaba's Alipay currently dominates China's electronic payments market. By 2017 it is estimated the global mobile payments market will be worth some $1tn (£650bn). UnionPay's alliance with Apple is an extension of its plans to make the most of that growing market.
Executive vice president Chai Hongfeng said the firm would provide "secure, convenient mobile payment experiences for its hundreds of millions of cardholders, aligning multiple parties in the industry". "We're very excited to offer Apple Pay among a diverse set of innovative payment options that work with China UnionPay QuickPass," Mr Chai said.
Powa's technology enables shoppers to pay for goods quickly in-store as well as online using their smartphones. UnionPay Network Payments is owned by China UnionPay. Pending approval from regulators, China UnionPay cardholders should be able to add their bankcards to Apple Pay on iPhones, iPads and Apple watches, the firms said. UnionPay cards have been accepted in 150 countries and regions outside of China.
They can be used in more than 26 million merchants and at 1.9 million ATMs. More than five billion UnionPay cards have been issued in China and around the world so far. The company has its headquarters in Shanghai and was launched in March 2002. Apple's pay facility was launched last year and so far only operates in the US and UK.