If you’re not living under a rock for the past two days, you would be surfing the internet for that cheap Bikrin Bag from China too. Well, this is because the country is currently retaliating against US President Donald Trump’s tariffs by directly advancing luxury goods ranging from handbags to cosmetics from Chinese manufacturers to consumers at lower prices. Here’s the full story!
China Tariff Controversy
On X (Previously Twitter), many American TikTok users uploaded videos from Chinese manufacturers demonstrating high-quality products designed for luxury names such as Birkin and Louis Vuitton. These suppliers sell directly to consumers at a fraction of the retail price, and often without branding. In these videos, Chinese suppliers emphasise the importance of high-quality materials and experienced labour in the product manufacturing process.
A Birkin bag supplier reflected that the manufacturing cost of a bag priced at $34,000 (Rs 29,23,320) is approximately $1,400 (Rs 1,20,372). The supplier claimed that the bag producers make a little profit margin, while the premium brand keeps most of the profit due to its logo and branding. “More than 90 per cent of the price is for the logo, but if you do not care about the logo and want the same quality, same material, you can just buy from us,” according to what he says on camera.
Many manufacturers have also made detailed videos revealing their production process to counter the ‘Made In China’ poor quality misconception. Meanwhile, other companies have even provided free global delivery and, in certain circumstances, import fees.
Also Read: Hermès’ Infamous Birkin Bag Gets A Metaverse Twist. Is The Future Of Fashion Virtual?
Notably, the United States and China are embroiled in a bitter trade war, with the former slapping tariffs of up to 145% on Chinese goods and the latter retaliating with levies of up to 125%. China’s Ministry of Commerce recently requested the US to reduce its retaliatory tariffs following a US statement exempting some consumer devices, such as smartphones and laptops, from these penalties.
What are your thoughts on this?
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