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18 Apr 2025 14:00
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  •   Home > News > International

    Chinese factories appeal directly to US consumers on TikTok as tariffs bite

    Chinese factories are trying to sell directly to American consumers on social media platforms in a bid to bypass the 145 per cent tariff hike imposed by Donald Trump.


    Chinese factories are trying to sell directly to American consumers on social media platforms in a bid to bypass the 145 per cent tariff hike imposed on Chinese products by US President Donald Trump.

    From furniture and appliances to laundry pods and home decors, a growing number of Chinese sellers are showcasing their products in English on platforms like TikTok and Rednote, targeting US users with captions such as "factory price for Americans" and "no middleman, no mark-up".

    In another clip, a factory worker pitches ultrasonic cleaning products with the line, "Trust me, trust me, Chinese people never cheat," while a Guangzhou wholesaler claims through captions, "only 10 yuan for clothes that cost hundreds."

    Views on these posts often climb above 200,000, and some hit over half a million.

    The trend has also sparked a wave of quirky, engaging content from American users, with one TikToker declaring, "finding out I can get 20 laundry capsules for a single dollar is making my brain short-circuit."

    Another joked about "reverse daigou" — referring to the practice of buying goods in China on behalf of American consumers.

    "Who says only Chinese people come to America to shop? Now it's our turn! I'm going to China with an empty suitcase."

    The viral spread of these videos allowed US consumers to directly compare prices and connect across borders, making visible the once-invisible layers of profit between factories and shelves.

    Many users said they realised how much middle businesses and US-based companies have inflated prices for everyday goods.

    Ashley Dudarenok, founder of China research firm ChoZan told the ABC that while consumers can save on small purchases, they're still required to declare goods upon re-entry to the US and pay duties if they exceed exemption limits of $800.

    She said the manufacturers' invite for American buyers to visit "captures attention", but was a symptom of trade tensions.

    Buyers are expected to save a significant amount of money by buying directly in China, but they will still pay the tariff on the cheaper products.

    Businesses reviving old tactics from 2018 trade war

    What differentiates the current trade war with the 2018 US-China trade war is that Chinese businesses explored diversifying exports away from the US rather than looking at directly selling to US consumers.

    The first US-China trade war hit a wide range of export-heavy Chinese sectors, particularly electronics, textiles, toys, furniture, and machinery.

    According to Chinese government figures, nearly 1.9 million jobs were lost in manufacturing, and industries heavily reliant on the US market — such as those producing low-cost consumer goods — were among the hardest hit.

    Small and medium-sized enterprises (SMEs), which make up the bulk of exporters in China, struggled to adapt to sudden tariff hikes and shipment delays.

    Back then, sellers tested drop shipping, online marketplaces, and influencer partnerships.

    This time, they are leaning on short videos, livestreaming, and personalised messaging to tap into Western markets.

    Now, many of those same industries are back in the spotlight. Household goods, soft furnishings, clothing, and basic electronics are once again bearing the brunt of the renewed tariffs.

    Factories in Guangdong, Zhejiang and Jiangsu provinces, which serve as major manufacturing hubs for these products, are among the most active in turning to platforms like TikTok and Rednote to promote direct-to-consumer sales.

    Experts say this model of bypassing intermediaries may help some exporters offload surplus inventory, but turning viral reach into sustained sales will require more than digital visibility — it depends on fulfilment logistics, payment systems, and consumer trust.

    Dr Cheng Mingming, a digital marketing professor at Curtin University, believed the direct selling trend's implications are still symbolic.

    "They [manufacturers] want people to realise, tariff war is not the best strategy for them and it might have a negative impact on them," Dr Chen said.

    "Manufacturers in a way let US consumers realise that China provides a lot of cheap products that can meet their needs, so that they would feel that America's trade tariffs actually created inconvenience in their life.

    "It might affect how US customers perceive tariffs and the policies that Mr Trump promotes, which argue tariffs are good for the US."

    Travel to China? Experts say unlikely

    Meanwhile, on Rednote, China's lifestyle-sharing platform, live streamers have launched promotions under hashtags like #saveourfactory and #shopinchina, urging local consumers to buy goods originally destined for US customers.

    Some sellers have filled their livestream sets with boxes bearing English shipping labels and barcodes, claiming they were forced to clear out warehouses because of the US tariffs.

    In a post, a seller offered steep discounts on small home appliances such as rice cookers, juicers and toasters, while lamenting that US companies "cancelled our contract".

    "Now it's all 90 per cent off!" the post wrote.

    Some users even urge Americans to visit China in person for cheaper shopping, playing on both sarcasm and a growing sense of cross-border frustration.

    "Come to China, buy direct, save big!" reads one post on TikTok, layered over footage of a factory floor.

    While the message may resonate with frustrated shoppers, experts say it is unlikely to bring a surge of American shoppers to Chinese factories.

    "It's impossible for most Americans to shop directly in China, and it's unlikely to work as a countermeasure to the impact tariffs have on American consumers," Dr Cheng said.

    He added that the passport ownership rate in the US is relatively low compared to other developed countries, and international travel remains inaccessible for many.

    But the goal, he believes, is not necessarily tourism.

    Ms Dudarenok agrees the videos are a savvy marketing strategy.

    She said while it's unlikely they will inspire a wave of inbound shopping tourism, they could fuel greater demand for direct-to-consumer platforms.

    "While shopping in person in China might seem like a way to bypass tariffs, in reality, travellers are still required to comply with US customs regulations," she said.

    "Failure to declare goods or pay applicable duties could result in fines or confiscation of items."


    ABC




    © 2025 ABC Australian Broadcasting Corporation. All rights reserved

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