Market share dynamics on Amazon have shifted over the past few months, revealing a new landscape where sellers based in China now make up more than 50% of the leading sellers on Amazon.com. This is highlighted in a recent report by the consultancy Marketplace Pulse.
Nearly two years ago, the percentage of American sellers fell below 50%, but the market distribution remained such that no country’s sellers made up more than half of the total on the platform. This has recently changed, with China now holding over 50% of the market share, the U.S. approximately 45%, and the rest belonging to sellers from other countries.
The report also points out that some international sellers legally establish their companies in the United States or use U.S. addresses and registrations to sell on Amazon, implying that the actual share of American sellers on Amazon.com is below 45%.
In November 2023, the e-commerce giant launched Amazon Haul in the U.S., a low-cost section available only on mobile devices, designed to compete with platforms like Temu and Shein. To boost its success, Amazon employed aggressive discount strategies typical of such marketplaces. Additionally, a “Made in China” section was included.
According to Marketplace Pulse, all Amazon Haul sellers are based in China, similar to Temu. However, not all products sold are manufactured in the Asian country.
Chinese sellers are shifting production to countries like Vietnam to avoid tariffs. Moreover, China accounts for less than half of the low-cost imports to the United States from Asia. Despite China’s declining share in imports, Chinese sellers on Amazon continue to grow and generate hundreds of billions of dollars in global sales on the marketplace.
Photo: GPT4
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