Source | Phoenix Finance

At the moment when Dunhuang.com (DHgate) became a hot search on Weibo, Li Ming did not expect that this company, which had reduced its business during the epidemic and even closed several branches, could reverse and bloom new vitality in a tariff storm.

In fact, the shadow of the US imposing tariffs is still spreading. U.S. consumers' concerns that future commodity prices may soar like eggs have not diminished. Against this background, DHgate, a Chinese cross-border e-commerce app, unexpectedly "ignited" the US market. Its download volume surged by 940% in just four days, ranking first in the US App Store e-commerce application list, and even surpassed e-commerce giants such as Taobao and SHEIN, soaring from 352 to second in the United States, second only to ChatGPT, which to a certain extent alleviates the anxiety of current foreign trade industry people and American consumers.

"I really didn't expect Dunhuang.com to become so popular." Li Ming, a former employee, sighed to Phoenix.com Finance. "Originally, Chinese goods were exported to the United States through bulk trade. Now, after the tariff adjustments, the shopping costs of ordinary people have been affected. Dunhuang.com's overseas warehouse layout allows American users to place orders and shop locally at a lower cost."

01 "Stoppers Carnival" under the tariff levy: Some merchants have hundreds of orders per day and sales of tens of thousands of dollars

The US government's tariff policy adjustment was originally intended to restrict the inflow of Chinese goods, but it unexpectedly stimulated consumers' "reverse operations". American consumers have a strong desire to stock up on "made in china" goods. American netizens talked hotly on social media: "It turns out that European luxury goods OEM is in China! You can save 80% of the money by buying it directly!"

This subversion of cognition originated from the "revealing video" of Chinese suppliers on TikTok - from Gucci simultaneous leather goods to Zara OEM clothing, the video not only displays the production line, but also attaches the purchase link of Dunhuang.com. A New York user lamented: "Tariffs may cause prices to rise, but through Dunhuang, we found a 'shortcut' to bypass middlemen."

These videos not only connect factories directly to consumers, but also teach Americans how to see through the pricing mystery. Dunhuang.com's direct purchase links and contact information have improved consumers' shopping experience, increased the platform's exposure and user stickiness.

Platform data shows that on April 13, Dunhuang Network's iOS downloads in the United States reached 65,100 times, a surge of 940% from the 30-day average. The demand for "low-cost procurement + fast fulfillment of contracts" by small and medium-sized wholesalers is exactly in line with Dunhuang.com's "small order and quick response" model. By integrating Chinese factories, overseas warehouses and local distribution, the logistics timeliness is compressed to 3-5 days.

Dunhuang.com’s investment and operation personnel told Phoenix.com that sales volumes in all categories on the platform are currently rising. In recent days, new and old stores of Dunhuang.com have experienced explosive orders, especially popular categories such as shoes, clothing, accessories and fashion accessories.

"The platform traffic is very good during this period, and some customers' orders have doubled. Many merchants have orders per day, with sales reaching more than 6,000 US dollars, or even tens of thousands of US dollars. Of course, it is not said that every store is like this." said an operator of Dunhuang.com.

(The transaction status of a merchant on April 15, provided by the interviewee)

In this sudden torrent of wealth, a Dunhuang Network employee revealed: "According to internal news, many overseas Internet celebrities spontaneously promote Dunhuang Network, resulting in the platform download volume exceeding Temu. It is expected that a large number of new users will join in the future, and the traffic will increase significantly." At the same time, the operation staff also said that many sellers are consulting on how to enter Dunhuang Network every day.

The United States imposed tariffs and caused a large number of users to pour into Dunhuang.com. According to the official account of "Dunhuang.com Cross-border E-commerce", its download volume in April soared by 800% month-on-month, and more than 3,000 American wholesalers scrambled online every day. Now you can enjoy the new merchant traffic support package. Affected by the frequent adjustments to the US tariff policies recently, Dunhuang.com launched the "Tariff Escort Plan" on April 11. For the merchant platform "not increasing the price of goods", it will carry out a comprehensive and powerful traffic and rights tilt, and provide an exclusive 1V1 logistics support and assistance plan. In addition, to cater to the strong stocking needs of American consumers, the platform launched the "Stock & Save Sale" promotion.

02 From "mobile phone case myth" to "tariff dividend": "Foreigners can buy cheap Chinese goods"

"Almost all foreign traders know how popular Dunhuang Net electronic products were back then. A mobile phone case worth a few cents sold for dozens of dollars, and there is no need to promote it." According to foreign trader Xiao Li, this huge profit was due to the difference in the cost advantage of China's supply chain in the 2000s and the global information gap. Today, history seems to be repeated - the United States imposed tariffs on Chinese goods, which instead made Dunhuang.com a "underground channel" for American small and medium-sized retailers to bypass tariff barriers.

The Trump administration's new tariff policy has caused widespread anxiety in the US consumer market, with daily consumer goods such as toys, clothing, electronic products facing tariff increases of up to 75%-245%, which means that the prices of Chinese-made goods familiar to American consumers may rise sharply.

As media reports describe, Americans are beginning to worry that “T-shirt prices may rise like eggs.” The case of Amy Rutherford, owner of a toy shop in Alexandria, Virginia, is very representative: the 145% tariff on her panda dolls may rise from $32 to $80, and this jump in price will directly lead to a sharp drop in sales. Consumers are starting to look for alternatives that bypass traditional retail channels and buy goods directly from China. Dunhuang.com has become their first choice with its "small tax exemption" policy.

"The platform is a small wholesale, which is different from Amazon and Temu. Foreigners can buy cheap Chinese goods." Speaking of the popularity of Dunhuang.com, Xiao Li told Phoenix.com Finance.

Dunhuang.com is one of the oldest cross-border e-commerce companies in China. Its founder and CEO Wang Shutong was once the youngest executive of Microsoft China, and together with Lei Jun and Chen Nian, they created the Excellence Network, which was packaged and sold to Amazon in 2004. Wang Shutong aims at the pain points of B2B cross-border transactions and pioneers the "small order quick counter" model. By integrating Chinese factories and global overseas warehouses, it greatly reduces the minimum y-time volume and compresses logistics timeliness. By integrating 3 million factories in China and 14 overseas warehouses in the world, the minimum y-time volume is reduced to single digits, and the logistics timeliness is compressed to 3-5 days.

(Wang Shutong, founder and CEO of Dunhuang.com)

While online traffic exploded, Dunhuang.com's offline layout has already quietly spread out. No one expected that the "Overseas Warehouse Network" that Dunhuang.com deployed in its early years would become a "moat" to resist the tariff storm in five years.

Public information shows that Dunhuang Network covers 225 countries and regions around the world, provides more than 100 logistics lines and 14 overseas warehouses, and has global business offices in North America, Latin America, Europe and other places. These warehouses that were once "frozen" by the epidemic have now become the "Noah's Ark" for small and medium-sized sellers to avoid costs due to the drastic changes in US tariff policies.

In fact, China's cross-border e-commerce market has become the core engine of global growth. Data in 2024 show that China's total import and export of goods through cross-border e-commerce channels reached RMB 2.63 trillion, of which the export volume accounted for more than 70%. It is estimated that by 2025, the global cross-border e-commerce transaction scale will reach US$4.8 trillion, with China's exports accounting for more than 69%. Relevant data shows that as of now, 4,284 cross-border e-commerce-related companies have been registered this year, of which 3,526 were registered in the first quarter, a year-on-year increase of 107.53%. From the perspective of the national standard industry, cross-border e-commerce-related enterprises mainly belong to the wholesale and retail industries, accounting for 81.49%.

The growth trajectory of Dunhuang.com reflects the development of China's cross-border e-commerce industry. Under the interweaving of tariff barriers and traffic torrents, whether it can transform from "policy arbitrage" to "value creation" will determine whether it is a flash in the pan legend or a new force that can truly lead global trade.

(Li Ming and Xiao Li are both pseudonyms)