KATHMANDU, Aug 4: When the US raised import taxes on Chinese products, some up to 245%, the goal was clear: slow down China's exports and protect American businesses. But instead of backing off, many Chinese manufacturers found a clever way. They went straight to the customers, using social media.
On TikTok and other platforms, Chinese sellers are showing people how they make bags, shoes, and clothes that look exactly like luxury brands but for a much lower price. Some of these products cost a tenth or even less than what big-name brands charge.
For example, a bag that looks like a $34,000 Hermès Birkin is being made and sold for around $1,400, according to a viral video shared by a Chinese factory. Sellers explain that most of what customers pay for in luxury items isn’t the product itself—it’s the brand name.
Since tariffs have increased the cost of Chinese items in nations such as the United States, suppliers are avoiding large corporations and platforms that would add extra expenses. Instead, they use apps like TikTok, Taobao, WeChat, and DHgate to sell directly to customers all over the world.
This means buyers can get luxury-style goods without paying luxury prices—and without paying import duties.
A detailed breakdown by SmartCompany showed yoga pants that look like Lululemon’s $100 designs being sold for just $5 to $6 by Chinese factories. The cost difference is shocking, and it’s making buyers rethink what they’re paying for.
Luxury brands always claimed that their products provide more than looks, such as higher quality materials, service, and brand experience. However, when something similar is available for a much lower price, many individuals go for the cheaper choice.
This shift is about more than just fashion. It shows how global trade is changing. Tariffs were meant to block products from coming in, but in today’s connected world, a phone camera and a social media app are enough to reach millions of buyers.
While the U.S. and other countries continue to debate tariffs and trade deals, Chinese manufacturers are using fast content and fast shipping to stay one step ahead.
The Times based in the UK reported that the new “luxury for less” movement is not just a pricing problem for big brands—it’s a power shift in global commerce.
However, the focus is not simply on fashion or US-China relations. Nepal can benefit from the trend due to its location and proximity to China.
Nepal and China reopened the Korala border point in Mustang in 2023, which now permits the transportation of goods such as clothing, electronics parts or construction materials to northern regions of Nepal. A substantial infrastructure has been established on the Chinese side to facilitate border trade. Although Nepal's facilities are still restricted, the crossing is a significant step towards revitalising traditional trade connections between the two nations.
Entrepreneurs from Nepal, particularly those in the retail and fashion sectors, may benefit from this shift. In Nepal, new forms of luxury products could appear with low-cost imports from Chinese factories and resold through local shops or Instagram profiles. Such a market would appeal to fashion-conscious individuals who want the aesthetics of high-end outfits without the high price tag. Nepal has witnessed a rise in the number of consumers, particularly those who are active on TikTok and Instagram.
Still, there are certain challenges to overcome. Permits and papers are required in Nepal when importing products such as jewelry or electronics. The previous implementation of luxury import restrictions to protect foreign exchange reserves shows that policy may be adjusted to reflect the country's economic prospects.
Despite these hurdles, the situation remains hopeful. Small businesses in Nepal may capitalize on the worldwide luxury-for-less trend by using a smartphone, a dependable supply chain, and creative marketing strategies. By importing fashion, people would be participating in a new form of global trade that combines content, business, and convenience.