Chinese Suppliers Offer Luxury Bags at 90% Off During US Trade War

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Chinese manufacturers that supply luxury brands such as Birkin and Louis Vuitton are now directly selling similar items to consumers online at significantly reduced prices. These items, showcased in viral social media videos, are offered without branding at approximately one-tenth of their retail price.

The circulating videos on various platforms spotlight Chinese suppliers revealing their production of goods for high-end brands like Chanel, Estee Lauder, and Bobbi Brown. These suppliers assert that they offer the same products, minus the logos, crafted with high-quality materials and skilled labor. Furthermore, they provide additional incentives such as paying for import duties and offering free shipping.

One Chinese supplier reported that a Birkin bag, typically sold for $34,000 (about ₹29 lakh), costs only $1,400 (approximately ₹1.2 lakh) to manufacture. According to the supplier, the majority of the profit is claimed by brands for their logos, leaving a minimal profit margin for the bag makers.

This development is emerging against the backdrop of trade tensions between the United States and China. During former US President Donald Trump’s administration, American companies were encouraged to relocate manufacturing to the United States. In response, Chinese manufacturers have utilized social media to disseminate footage of their production lines and expose cost breakdowns.

Some social media posts speculate that products marketed as “dupes” might actually be originals without branding. This supports a common belief that many knock-offs are produced in the same factories used by luxury brands.

These videos have sparked discussions about the efficacy of the US strategy in the ongoing trade war. One social media user noted that even after accounting for import tariffs and shipping costs, purchasing these products directly remains cheaper than through American corporations.

Another video sought to challenge the stereotype of “Made in China” products by illustrating the intricate manufacturing process, emphasizing the craftsmanship and quality of materials involved.

Despite the imposition of a 145 percent US tariff on Chinese goods, China has retaliated with its own duties of up to 125 percent and remains steadfast in its stance. The country focuses on domestic reforms and expanding trade partnerships internationally. Chinese President Xi Jinping has characterized the US actions as “unilateral bullying,” with Chinese ministers reiterating China’s commitment to resisting external pressures while continuing to “fight to the end.”

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