Chinese Suppliers Expose Luxury Brands’ Markup Over Escalating Trade War

Chinese production companies directly offer their luxury products at wholesale rates online because they were created for luxury retailers. Social media reveals places where suppliers create luxury products for Birkin and other premium brands including Louis Vuitton, Chanel, and others. The production companies demonstrate their crafting abilities and high-quality materials while showing big price differences between what they produce and what consumers pay.

A Birkin bag supplier revealed that the company makes bags worth $34,000 (around Rs 29 lakh) for less than $1,400 (Rs 1.2 lakh). The supplier reported that product makers earn small profits even though brands sell expensive products mainly due to their famous logos.

Chinese companies are making this shift to manufacture within the US because of rising political tensions under Trump administration policies. The ongoing trade conflict between the US and China through increased tariffs stays unresolved since American duties on imports hit 145 percent and China returned at 125 percent tariffs on US exports.

Instead of making concessions China has opted to change itself from the inside and team up with other countries in business. President Xi Jinping strongly opposes US behavior he calls bullying and vows to defend China until the end.

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Through the videos, suppliers endeavor to prove that Chinese manufacturing creates high-quality products by offering to pay import duties plus free international delivery. News about this trade skirmish has led businesses and customers to talk about luxury products and brand worth.