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China's manufacturing prowess makes Yiwu mecca for buyers

China Daily | Updated: 2025-05-09 11:50
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Foreign merchants talk to sellers at a trade mart in Yiwu, Zhejiang province, in April.[NI YANQIANG/FOR CHINA DAILY]

HANGZHOU — In a compact shop no larger than 10 square meters, Tao Yang, a vendor in Yiwu — a city in Zhejiang province known as "the world's supermarket" — keeps a well-used world atlas on her desk.

"I ask my customers to sign their names over their home countries," she says, adding that she has collected signatures from clients in 20 countries. "Our doors are always open to the whole world."

Despite the US government's recent tariff increases on imports from China and other trade partners, business remains brisk at the Yiwu International Trade Market.

In the first quarter of this year, Yiwu's total import and export value reached 167.45 billion yuan ($23 billion), an increase of 13 percent year-on-year, with trade links spanning over 230 countries and regions. Among this, exports amounted to 147.27 billion yuan, up by 14.5 percent year-on-year.

Tao is working with a US client on new designs.

In early April, her guest from the United States arrived in Yiwu as scheduled.

"The US government's successive imposition of tariffs has caught my client off guard, but he still resolutely came to China to discuss new product development and orders face-to-face with me," Tao told Xinhua.

Despite feeling a bit jet-lagged, he made his way to the market the very next day, promptly placed an order for a batch of diamond-studded car cups and got to work on crafting the diamond-encrusted accessories.

Tao delivered 35 new samples in just six days. "Yiwu's efficiency and supply chain keep us competitive," she said.

According to Tao, what attracts the US client to Yiwu is not just the products. At its core, he is choosing Chinese manufacturing for its ability to swiftly launch new items, maintain a stable supply chain, and offer competitive pricing.

Having been in the trade for over 40 years, Tao's client, who is now 69 years old, has seen disputes and market ups and downs throughout his career. "We all believe that business and progress won't be stopped by unexpected events," she said.

Of Yiwu's 75,000 merchants, around 3,000 are involved in US-related trade, and only about 100 merchants like Tao conduct direct business with US buyers. To navigate the challenges posed by tariff escalation, many merchants are adapting by innovating their products, streamlining production, and expanding into both domestic and global markets.

Zeng Hao, a supplier of 3D-printed toys, believes the emerging product category is unlikely to be replaced in the near future. At his factory, more than 3,000 machines are running at full capacity, producing over 100,000 pieces each day.

Zeng noted that if the toys were to be produced in the United States, the costs would double. He said he is seeing rising orders from South America, Southeast Asia and Russia, and aims to boost domestic sales to 30 percent by the end of the year.

Christmas decor merchant Jiang Jiangping's business has entered the peak season. With an eye-catching range of nearly 2,000 Christmas products, he is not too concerned about US tariffs, as the US market accounts for less than 3 percent of his sales. Meanwhile, orders from Europe and other regions have steadily increased in recent years.

"Our sales revenue has maintained double-digit growth in the past two years. Orders for this year's Christmas products have already been scheduled through the end of June," said Jiang.

"Recently, we've been rushing to fulfill orders from the Middle East," said Sun Lijuan, a doll toy merchant.

Sun's company has developed Arabic-speaking smart dolls for the Middle East market, and has seen a 10-percent increase in order volume from the Middle East compared to the same period last year.

"The business in Yiwu is truly global," said Sun.

In recent years, the local government in Yiwu is also actively driving the globalization of trade. Leveraging AI tools, merchants in Yiwu can produce promotional videos in 36 languages to showcase their products worldwide. The "Brand Globalization" program, launched in 2023, has already been introduced to over 20 countries and regions, helping more than 5,000 businesses tap into overseas markets.

Additionally, Yiwu's logistics network is constantly being enhanced.

Just days ago, a train loaded with 100 standard containers of export goods, including home appliances, hardware machinery, and decorative materials, departed from Yiwu and headed for Kashgar, Xinjiang. This marked the launch of the first intermodal rail-road freight train from the Yangtze River Delta region. The cargo will then be transferred by truck in Kashgar and ultimately delivered to Tashkent, capital of Uzbekistan.

Railway data show that in 2024, Yiwu saw a total of 1,300 China-Europe train trips, transporting over 140,000 standard containers of goods, registering a year-on-year growth exceeding 10 percent.

Pan Yigang, deputy director of the Zhejiang Provincial Development and Planning Institute, noted that by capitalizing on its strategic position along the Belt and Road, the Yiwu International Trade Market has developed a trade network that spans emerging markets in Asia, Africa, the Middle East, Southeast Asia, and Latin America. This trade network is defined by its diverse customer base and robust resilience to risks associated with single market.

Data show that Yiwu's 2024 trade with Belt and Road partner countries surged 18.2 percent year-on-year to 413.3 billion yuan, making up 61.8 percent of the city's total imports and exports.

At 8:30 am, Fu Jiangyan and dozens of fellow merchants gathered at the language center for Arabic lessons, a new initiative introduced at the Yiwu International Trade Market. Spanish classes will also be introduced in the near future.

"Speaking our clients' languages helps build trust and opens up new market opportunities," said Fu, a sock merchant focused on the Middle East and Africa.

XINHUA

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