US sellers call for intervention regarding the surge of Chinese sellers on Amazon

A recent article from Fortune has become a hot topic after exposing U.S. sellers’ sentiments toward Chinese competitors. With the latter representing over 50% of Amazon marketplace sellers, the former is worried about lower local brands, jobs, and merchants.

Here are more details on this issue:

?? Negative impacts on U.S. sellers?

Many U.S. sellers are feeling the negative impact caused by the influx of Chinese sellers.

• U.S. sellers allege Chinese rivals engage in unfair practices such as:

1. Posting fake negative reviews to sabotage competitors
2. Using low-cost tactics that give them an advantage in price and reach

• Chinese competitors also have regulatory advantages, including:

1. No U.S. income tax ?
2. The 'de minimis' rule, which allows them to ship orders under $800 to U.S. customers without paying tariffs or duties (but this might be changing soon)
3. Alleged ways to skirt around Amazon's requirement for proper liability insurance

?? Amazon, listen

Sellers call for government intervention to create a level playing field, engaging with think tanks, lobbyists, and Amazon executives. Billionaire Mark Cuban also tweeted a suggestion: registering Chinese products on a U.S. government site to review intellectual property (IP) before sales.