Donald Trump expected in China at the end of the week, against the backdrop of trade tensions between Beijing and Washington. But in Yiwu, a huge Chinese export platform, many merchants say they have learned to live without the American market. After years of trade war, they have turned to Africa, the Middle East, or Central Asia. And today, some are more concerned about conflicts in the Middle East than American tariffs.
From our special correspondent in Yiwu, Clara Broadhurst, and Lei Yang
In the alleys of the world’s largest wholesale market, Yiwu traders all tell the same story: the trade war launched by Donald Trump has transformed their activities. Li Ye, vice president of the Yiwu Chamber of Commerce, explains the consequences of these tensions: “Since the trade war, these exports have become difficult, so we have reoriented towards other markets. At one point, tariffs reached 100%, which reduced orders to zero.”
For many local businesses, the United States remain a profitable market. But after several years of trade tensions, many have begun to diversify their outlets. This is confirmed by Li Tenghui, a wholesale trader: “Many customers then canceled their orders or abandoned the goods. We had to sell the stocks through various channels, including end-of-series, or re-export to other countries. Today, many colleagues in Yiwu no longer see the United States as a primary market. They started redirecting themselves a long time ago.”
Nowadays, Africa, the Middle East, and Central Asia are playing an increasingly important role in Yiwu’s exports. When trade routes close, traders look for other solutions, as Li Ye explains: “Before, we could sell things directly, without detours. Now, that’s no longer possible. So I take a few detours. The Chinese have a great ability to take other paths, if we are allowed to do so.”
But today, it is mainly tensions in the Middle East that worry traders, like Li Tenghui: “The Middle East represents 25 to 30% of our turnover. It’s not just about price increases or customs duties: customers simply can’t buy anymore. Ships can’t dock, they dare not dock.”
The same observation is made by Yu Jiani, a Halloween decorations seller: “The war mainly affects our raw materials. Oil is unstable, so is the fabric. Delivery times for raw materials have gone from one week to one month, and prices have increased significantly. Some materials have increased by about 10%.”
However, foreign buyers continue to flock to the market in Yiwu. Among them, Ibrahim, a Jordanian trader who has been sourcing from Yiwu for twenty years. “I think no country is as good as China. In China, you can find everything you want. If I can’t go to China, I might have to end my business.”
In Yiwu, despite trade wars and regional conflicts, many remain convinced that China will continue to play a key role in global trade.
