Chinese exporters need to build brands

Sports

Chinese exporters need to build brands

2025-06-18 07:14:54

Jinhua, China-16 June: E-Border e-commerce staff and Package Express Parcels in preparation for the 618 Shopping Festival on June 16, 2025 in Jinhua, China Province of Zhejiang. (Photography Yang Meiqing/VCG via Getty Images)

VCG | China Visual Group Gety pictures

This report from the CNBC’s China Connection newsletter, which brings you visions and analyzes about what pays the second largest economy in the world. Every week, we will explore the largest business stories in China, and make a decrease in market movements and help you prepare for the next week. Like what you see? You can subscribe here.

The big story

“Do you need an American warehouse?”

“Do you need a Mexico warehouse?” “Shipping to Europe?”

Sales representatives, Chinese Mandarin speakers, were not shy of paying their logistical services when she attended the e -commerce exhibition across the tenth border international Channel this week. A logistical company has rented one of the foreign -look foreign models in shiny silver dresses to wander around the place.

It is one of the largest events in the general companies that sell from China to the United States and other countries online. In the midst of a truce in the US -Chinese tariff war, many companies seemed keen to enter the American market.

But the game to stay has changed.

“The past thirty years have helped Chinese companies become very mature in the integration of the supply chain,” Tina Hessa, a partner at Aigc Empower, told me in the Mandarin at the exhibition. “Today, if there is a tool that can help [businesses] Tell a better story, echo with users … they can go out with the brand identity to work in a long -term healthy way and higher profits. “

Aigc Empower claims to have these tools. In a joint launch with Amazon and Wayfair in Zhuhai, China, last month, HSU said that AIGC has provided two AI’s own producers: a system to quickly search in local markets to understand consumer needs, and a tool to produce photo to announce the product. HSU said that the service starts from 10,000 yuan ($ 1,390) per year of the year – it has already received about 100 requests.

“Frankly, not every customer here can estimate the value of” our products and the need for the brand, noting that it is the Chinese entrepreneurs who studied abroad better understand this. But she warned that without a distinctive distinction, Chinese companies will find it difficult to stay abroad in the next thirty years.

Spend more on ads

Although some companies that have Chinese roots such as Temu and Shein have acquired the most interest when it comes to electronic trade across the border, many smaller Chinese companies click on the Internet for sale directly to consumers abroad, while intensifying competition at home.

“The American consumer market is still the largest world, and the destination for most e -commerce sellers across the border,” said Li Xiaoming, MIAO Shou, who sells programs that allow traders from e -commerce platforms in one place. This is according to the translation of CNBC for his statements in Mandarin.

Although companies have turned into other countries, they still stick to some resources for publication in the American market – if conditions improved in the next few months.

Regardless, Chinese sellers accumulate in the direction of e -commerce across the border.

Miao Show has claimed that it has a total of 800,000 customers as of June, where about 200,000 companies have joined the platform in the past six months. He told me that the company aims to double the volume of customer sales transactions on its platform this year.

To emerge in such a competitive environment, these companies need better brands and marketing, especially in the current trade climate.

“We believe this time the tariff this time indicates the process of reshaping the full market,” said Bear Hao, General Manager of China at Fintech Startup Foundpark.

With $ 750 million from Goldman Sachs and HSBC, Foundpark gives money to smaller Chinese companies that sell their goods abroad. Haw, who used to work in Ali Baba, said that the start of the operation became Official loan to some Chinese sellers on Wall MartIt aims to reach a similar partnership with sellers over Amazon later this year.

FundPark said more companies to advertising because customers have increased their marketing spending to up to 20 % of the product treatment value – a leap from 3 % to 5 % in 2023.

While spending on ads can lead to short -term mutations in sales, brand building is a long -term process, and a much more difficult task. Even the legend of advertising John Hagartiti described the difficulties of making companies make bold and transforming moves in order to stand out in the market. But if the Chinese exporters are competing globally, they must focus on the difficult task of building a brand.

It is similar to what is operated in the electric car industry designed in China. Companies reduce prices and offer more high -tech features, but to stand out in the long run, they need to create brands that resonate with consumers.

Providing legal protection

Some Chinese companies believe that they already have what is necessary to build a trademark, but they lack legal resources to protect themselves – especially since market occupants are launching targeted claims that can force a Chinese seller to get out of work.

It has become a remarkable challenge that a group of Chinese merchants supported A new platform that uses a low -cost insurance structure for litigation services that can be expensive, according to Jack Chang, Secretary -General of the Legal Insurance Department of the E -Commerce Association in Churchine over the border. It leads the project with a team of about 30 people.

His plan is to collect lawsuits in thousands or tens of thousands, thus negotiating a lower rate with law firms in the United States or in the other market. It is far from the operating service, and Zhang hopes that he can reach a threshold of 1000 cases at this time next year.

One of the participants said that many companies in the exhibition also announced services from compliance with business registration – will cost to obtain an American brand equivalent to $ 485, and it is now available at $ 150. But since many sellers seemed to simulate each other’s style, just trying to undermine others on the price, it is clear that the concept of the brand has not yet been launched.

You choose the top TV on CNBC

Self -developed chips are a long -term feature: co -founder of Xpeng

Xiaoping He, founder of Xpeng, talks about pressure and competition in the Chinese EV market: excessive capacity, price wars, and technological innovations. Turning Chip is a necessary invention to help Xpeng move to a large technical company.

Look at stocks

Hong Howe, the administrative partner, at Lotus Asset Assets, talks about the place where he sees opportunities in China’s markets: biotechnology, bubble tea, and pop -mart.

Job's magnetic resonance. American Ambassador Nicholas Burns for the role that China plays in the conflict between Israel and Iran

Nicholas Burns, the former ambassador in China, joins “Bell closing the additional work” To talk about the role that China can play in the Iranian conflict of Israel.

You need to know

China’s retail sales won sharply in May. The sales recorded its largest leap since December 2023, which is strengthened by government subsidies and high online shopping as the main e -commerce sales event began early. Industrial production and fixed investment in fixed assets witnessed growth from the previous month and the loss of expectations.

The United States of Chinese in the military trade left a rare issue on the ground without a solution. This is according to a Reuters reportQuoting two people who were briefed on the bilateral meeting in London. Beijing has yet to break its grip on the exports of some rare specialized land magnets, while the United States maintains restrictions on the export of advanced AI chips to China.

China has resumed Boeing jet delivery. Boeing A new plane has introduced 787-9 To the Chinese company Junyao Airlines on Saturday, months after Beijing comment, the delivery of the American Aerospace GIANT company, amid revenge on Washington. This delivery comes after China has agreed to re -contact some punitive measures against the United States with more ongoing commercial negotiations.

– Anik Bao

In the market

Stock scheme iconStock scheme icon

Hide content

The performance of the Shanghai complex during the past year.

Upcoming

June 18-19: The Logiazoy Financial Forum in Shanghai

June 19: A deadline for selling Tiktok us, It is likely to be extended

24-26 June: World Economic Forum “Davos” in Tianjin; AIIB annual meeting in Beijing

https://image.cnbcfm.com/api/v1/image/108160767-1750212146911-gettyimages-2220397205-vcg111574173383.jpeg?v=1750212166&w=1920&h=1080

Post Comment