Amazon.com plans to introduce a new section on its shopping site that will feature inexpensive items shipped directly to international consumers from warehouses in China, according to a report by The Information on Wednesday.
This move is Amazon’s response to the rising popularity of bargain sites like Temu and Shein. The new marketplace will offer unbranded fashion, home goods, and daily necessities, with products expected to be delivered to customers within 9 to 11 days, the report stated, based on slides shown to Chinese sellers.
In a recent closed-door meeting, Amazon informed Chinese sellers that it would begin signing up merchants this summer and start accepting inventory in the fall. Sellers on the new platform will have the flexibility to select their product range and pricing and can produce in small batches to gauge demand for new products.
According to Reuters, Amazon stated in response to the report, “We are always exploring new ways to work with our selling partners to delight our customers with more selection, lower prices, and greater convenience.”
It remains unclear whether these shipments will utilise a U.S. trade provision that exempts individual packages worth less than $800 from U.S. customs duties, The Information reported. This expedited clearance process is currently leveraged by e-commerce giants Shein and PDD Group-owned e-retailer Temu, which depend on the provision for direct-to-consumer shipments valued at $800 or less.
