Alibaba Prepares for 1688Overseas Launch with Plans to Expand to 15 Countries by 2025; Shein Expands into Home Goods with European Marketplace Launch This Fall
Latest news and analysis on China’s global e-sellers
Here’s our pick for last week’s news:
Alibaba E-Commerce CEO: Path to International Profitability Now Clearer
Temu Pushes Global Growth with Launches in Southeast Asia, Europe, and UAE
Alibaba Prepares for 1688Overseas Launch with Plans to Expand to 15 Countries by 2025
TikTok Shop to Debut into Five Countries in 2025
Ozon Expands Market Reach for Chinese Sellers
TikTok Shop Outpaces Shein and Temu in U.S. Sales Growth
Alibaba.com Sees 50% Order Volume Growth Post-Chinese New Year
Shein Expands into Home Goods with European Marketplace Launch This Fall
Temu Expands into Korea with Local-to-Local Model
Hisense Reports 46.5% of Revenue from Overseas in 2024
Alibaba E-Commerce CEO: Path to International Profitability Now Clearer
During Alibaba's Q3 earnings call for FY2025, CEO of E-commerce Business Group Jiang Fan highlighted the company's outlook for stable international growth and long-term profitability. The B2C cross-border business has seen notable improvements in unit economics, with profitability expected to rise. Strategic partnerships in several markets are further boosting margins.
"Although it's uncertain whether international business will surpass domestic in profits, the trajectory for international profitability is now clearer." For Q3 FY2025, ending December 31, 2024, Alibaba reported revenues of 280.15 billion RMB (38.64 billion USD), an 8% YoY increase. Alibaba International Digital Commerce Group (AIDC) saw a significant 32% jump, reaching 37.756 billion RMB (5.21 billion USD).
Temu Pushes Global Growth with Launches in Southeast Asia, Europe, and UAE
Temu has officially launched its first semi-managed service in Southeast Asia, opening in the Philippines. Heading into 2025, the company is rapidly expanding its semi-managed service, with new sites now live in Slovakia, Ireland, Croatia, Bulgaria, and Greece. Slovakia went live on February 20, and Ireland followed on February 24. The UAE site is slated to open on February 28, with additional launches in Lithuania, Latvia, Estonia, Luxembourg, and Finland on the horizon.
Alibaba Prepares for 1688Overseas Launch with Plans to Expand to 15 Countries by 2025
1688.com, Alibaba's domestic B2B platform, saw an impressive 70% surge in cross-border order volume in 2024. Industry insiders report that the company is gearing up to launch 1688Overseas in March, a new platform designed to simplify product sourcing directly from China for global retailers. Initially trialing in Vietnam, Kazakhstan, and select global markets, the platform is set to expand to 15 countries by 2025. 1688's services will allow factories to directly connect with overseas buyers for supply, payment, and fulfillment. The initiative is also targeting Belt and Road markets, aiming to boost global access to Chinese goods.
TikTok Shop to Debut into Five Countries in 2025
TikTok Shop plans to expand into five countries in 2025, including Italy, Germany, France, Japan, and Brazil. Sources say TikTok has already started recruiting Chinese sellers to open online stores for these new markets. The Italian launch is expected by month-end, while Germany and France will follow later this year. Japan's launch is slated for June, with Brazil's timeline still unclear. This expansion underscores TikTok's push to accelerate its global e-commerce footprint and enhance shopping features within the app.
Ozon Expands Market Reach for Chinese Sellers
Ozon is expanding its reach for Chinese sellers, adding Armenia, Kyrgyzstan, and Azerbaijan to its sales network. In addition to its existing markets in Russia, Kazakhstan, and Belarus, these new regions will offer Chinese products to a growing customer base, boosting sales potential for Chinese sellers on the platform.
TikTok Shop Outpaces Shein and Temu in U.S. Sales Growth
TikTok Shop is seeing explosive sales growth in the U.S., with a 153% year-on-year surge in January 2025, according to Bloomberg. This outpaces Shein and Temu, which posted growth rates of 26% and 28%, respectively. TikTok Shop has notably captured more market share from Shein than Temu, particularly in transactions over $25, where its share jumped by 16 percentage points compared to the previous year.
Alibaba.com Sees 50% Order Volume Growth Post-Chinese New Year
Following the Chinese New Year, Alibaba Group's B2B marketplace Alibaba.com saw a 50% year-on-year increase in order volume, with all key metrics showing robust growth. The U.S. market maintained steady growth, while Europe led the way with a 70% rise in orders. The Middle East, Latin America, and Asia-Pacific also saw rapid growth. In Europe, consumer goods categories such as beauty, electronics, fashion, and home & garden posted over 100% growth, while non-consumer goods like hardware and auto parts also saw volume double.
Shein Expands into Home Goods with European Marketplace Launch This Fall
Shein plans to launch its marketplace platform in Europe and the UK this fall, expanding its product offerings after successful rollouts in the U.S. and Brazil. The platform will feature a wider range of products through collaborations with global brands and third-party sellers, with a focus on new home and furniture categories, including smart lighting, washing machines, and kitchen appliances. Shein aims to support both established and emerging brands by leveraging its fast supply chain to reach customers across 150+ countries.
Temu Expands into Korea with Local-to-Local Model
Temu has introduced its "L2L" (Local to Local) model in South Korea, launching a recruitment campaign for local sellers. This initiative aims to offer South Korean consumers a broader selection of local products while giving local sellers access to Temu's vast customer base. The recruitment focuses on registered sellers with inventory who can handle their own orders and deliveries, enabling them to expand their market reach.
Hisense Reports 46.5% of Revenue from Overseas in 2024
In 2024, Hisense Group reported a revenue of 214.3 billion RMB (29.55 billion USD), with 46.5%—or 99.6 billion RMB (13.74 billion USD)—coming from international markets. The company's own-brand products made up 85.6% of its total sales. Hisense's TV shipments reached 29.14 million units, capturing 14% of the global market share, according to Omdia. Since 2018, Hisense has integrated several product and technology companies to streamline operations across its three major business groups: Hisense Electronic Information Group, Hisense Home Appliances Group, and Hisense Intelligent Technology Group.