Despite trade tariffs and political frost, a new generation of Chinese brands is conquering the US market.
As China’s domestic consumption stagnates, brands like Pop Mart (Labubu), Urban Revivo ("China’s Zara"), Luckin Coffee, and Mixue are expanding aggressively into the West.
The hope: 4 times higher profit margins than in China.
Details
📈 Explosive growth figures: Pop Mart recorded over 1,000% growth in North America in the first half of 2025. Miniso grew from 100 to 421 US stores in the last 24 months.
🎯 Gen Z target group: Younger US consumers who already shop on Shein and Temu are the main target audience.
❝"Chinese brands are positioning themselves as more affordable alternatives with increasing reliability."
— Morningstar analyst Ivan Su
🏀 Anta attacks Nike: China’s largest sports brand plans to open a store in Beverly Hills and is sponsoring NBA star Kyrie Irving. The goal: build brand awareness.
⚠️ Florasis shifts focus: The C-beauty label is shifting its focus from the USA to Japan, Southeast Asia, and Europe. The US market remains stable, but is no longer the top priority.
☕️ Coffee competition: Luckin Coffee and the ice cream chain Mixue are directly challenging Western giants like Starbucks by opening their first branches in New York.
🇪🇺 Plan B: Europe and Asia: China’s September exports rose surprisingly strongly, even though US shipments slumped by 27%. Stronger demand from the EU and Asia is compensating for the decline.
Why now?
China’s domestic consumption has been weakening since 2023. Brands that survived China’s brutal competition are seeking new markets.
For Chinese corporations, high-spending US consumers are more lucrative; with less pressure and competition, brands can charge them higher prices.
The China Survival Guide for Western Businesses
Entity setup, WeChat strategy, hiring your first local team. 12+ years on the ground in Shanghai.
