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Amazon permanently banned 600 Chinese brands
Published on: 2021-09-18
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Amazon.com said on Friday that it has closed about 3,000 online merchant accounts, backed by about 600 Chinese brands, on its popular platform, as the world’s largest e-commerce company ratchets up its crackdown on consumer review abuses.
 

The company’s campaign is not intended to target China or any other country, according to Cindy Tai, Amazon’s vice-president for Asia Global Selling, in an interview with state-owned broadcaster China Central Television on Friday. She also indicated that the closures did not negatively impact the overall growth of Chinese online merchants on Amazon.
 

Tai’s interview marked the first time that a senior Amazon executive has responded to recent actions against merchants belonging to the “made in China, sold on Amazon” community, which have borne the brunt of the platform’s recent crackdown against paid reviews and other violations.
 

While questionable practices like paying for positive reviews often go unchecked on Chinese e-commerce platforms, Amazon kicked off an extensive clean-up campaign in May that targeted such activities. This crackdown has affected tens of thousands of Chinese merchants, according to a report in July by the trade group Shenzhen Cross-Border E-commerce Association.
 

Amazon’s crackdown has hit some of the biggest Chinese brands on its platform, including Aukey, Mpow and Shenzhen Youkeshu Technology Co. Youkeshu said more than 130 million yuan of its funds have been frozen by the US e-commerce giant.
 

The crackdown has prompted some Chinese merchants to start investing more on other international online retail platforms such as eBay and AliExpress, according to the Shenzhen Cross-Border E-Commerce Association.

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