Online Shopping: Trade War Digitalization: Chinese factories urge our shoppers to go online and beat Trump’s tariffs by buying directly; can Americans get better deals?
Factory owners turn to tiktok for direct sale
According to a report, tariffs from Chinese factory owners and sellers are cutting U.S. retailers as US President Donald Trump’s 245% tariff on Chinese imports, according to a report, and uses social media as an online marketplace. Their information is to avoid middlemen and buy directly from the factory according to CNN.
According to CNN, a Tiktok user Wang Sen posted a video in what appears to be a high-end Birkin Bag wall, calling him an original equipment manufacturer (OEM) for luxury brands. He said in the video: “Why don’t you just contact us and buy from us? You won’t believe us (will give you a price),” the report quoted. However, his video was later removed by Tiktok, according to CNN.
China Shopping App is Climbing Charts
Meanwhile, according to CNN, an app like Dhgate is an online wholesale store notorious for selling Chinese luxury goods fraudsters, which has shot the No. 2 position on the U.S. Apple App Store to No. 2 position. According to the report, another application, China’s OG e-commerce website is ranked 7th.
Does China really produce luxury goods?
Another influencer named Lunasourcingchina said in another Tiktok video that there are two factories in Yiwu, a city known for its wholesale market, making merchandise for $98 leggings from ActiveWear brand Lululemon.
She also mentioned: “I think most of you know the prices of lululemon or other big brands… Guess, in these two factories you can get them for five to six dollars,” the report quoted.
However, Lulu dismissed her comment and continued that the company “does not work with the manufacturers identified in the online video, and we urge consumers to be aware of possible fake products and misinformation. Dong explained: “Any manufacturer that produces big-name brands may assume strict contractual obligations to avoid revealing this fact. ”
“If you talk about very expensive handbags that involve a lot of manual work, you might be pre-assembled somewhere and then mention them in France,” said Regina Frei’s professor of sustainable and circulating systems at the University of the Arts in London. ”
So, are those expensive handbags and watches made in China “made in Italy” or “made in Switzerland”? CNN quoted the answer, and Frey said: “It’s neither clear yes nor clear no.”
According to the report, many luxury brands pre-installed some items or hardware in China before the end product was assembled in France and Italy. However, due to Frei’s famous opaque luxury supply chain, it’s impossible to fully know.
FAQ
What happened to Tiktok and the trade war?
Chinese sellers are using Tiktok to sell directly to U.S. shoppers to bypass middlemen in response to Trump’s 245% tariff hike on Chinese goods.
Are these real brand manufacturers?
Probably not. Real manufacturers usually sign contracts to stop them from saying who they are working with, especially online.
