Amazon has this 'China plan' to take on its biggest online rivals

Amazon is reportedly shaking things up with a new online store dedicated to ultra-low-cost apparel and home goods. According to a report in Bloomberg, this move marks their biggest effort yet to compete with discount giants like Temu and Shein.
Leaked information from presentations to Chinese sellers reveals Amazon's plan to ship items directly from China, a significant shift from their usual focus on fast delivery through US warehouses.This new storefront will be a designated section on the Amazon website, initially accessible only to select sellers.
"We're constantly innovating to provide more options, lower prices, and a smoother experience for our customers," said Amazon spokesperson Maria Boschetti, acknowledging the program.
Documents include an invitation to a July 5th launch event in Yiwu, China, a major manufacturing and export center. This highlights Amazon's focus on courting Chinese sellers to fuel this new venture.
The rise of Temu, a subsidiary of PDD Holdings, and Shein has put pressure on established US retailers like Amazon. These competitors have captured customer attention with rock-bottom prices and aggressive marketing, particularly Temu's heavy presence on social media and TV.
Earlier this year, Amazon lowered fees for merchants selling low-priced clothing, hinting at their strategy to match Shein's budget-friendly offerings. This new discount storefront is the next step in their fight for dominance in the affordable goods market.