In 2015, only 7% of new Amazon sellers were based in China, whereas 70% of American-based sellers were based there. It was then a market dominated by American small businesses and private-labelers utilizing Amazon to build successful e-commerce brands.
Leap forward to 2025 — and numbers talk a radically different language. Now, almost 62% of new joiners are from China, whereas just about 27% are from America.
This shift is about more than a geographical transformation; it is about a paradigm transformation of e-commerce globalization.
Why Chinese Sellers Took the Lead
Chinese manufacturers have long been the backbone of Amazon’s supply chain. But in the last decade, they’ve moved from being behind-the-scenes producers to becoming frontline sellers. With direct access to production facilities, lower manufacturing costs, and strong logistical connections through Amazon’s FBA (Fulfillment by Amazon) network, Chinese sellers have gained a significant competitive edge.
They are quicker to market, faster to move into new niches, and frequently on thinner margins — which affords them a ability to own categories heavily dependent upon cost competition.
Further, retailers like TikTok Shop, AliExpress, and Temu have also taught Chinese suppliers a thing or two about e-commerce friendliness. They better understand how to leverage volume, automation, and supply chain efficiency more than before.
But Numbers Don’t Tell the Whole Story
While current Chinese suppliers control most of new Amazon accounts, American suppliers are still ahead of them by a single major point — revenue per supplier.
According to some market studies, American publishers enjoy a larger profit per account compared to their Chinese counterparts. This shows that experience, strong branding, and a deep understanding of Western consumer psychology continue to hold tremendous value.
Where many Chinese sellers compete on price, U.S. sellers often compete on brand trust, customer experience, and product differentiation. These are not short-term tactics — they’re sustainable competitive advantages.
The U.S. Seller Advantage: Branding and Trust
Let’s be honest — competing purely on price is a race to the bottom. It’s not sustainable, especially when global sellers can undercut margins due to lower production costs.
That’s why U.S. merchants who invest twice as heavily in branding, storytelling, and customer immersion are booming, not just getting by.
North American customers are becoming increasingly brand-sensitive. They want authenticity, green sourcing, expedited and guaranteed service, and human touch. American traders who invest their money in brand identity, content, and beautiful packaging continue to convert and retain loyal customers.
In essence, while Chinese sellers have scale, U.S. sellers have identity. And identity builds longevity.
How U.S. Sellers Can Stay Competitive
To stay ahead of this growing world market, American businesspeople are going to have to think strategically, not emphatically. That’s what’s working in 2025:
- Create a recognizable brand, not a commodity.
You have a successful Amazon store; there’s a narrative – a reason customers themselves believe in. It’s sustainability, local manufacturing, or original thinking. Discover what creates a memorable brand for your store. - Invest in product quality and differentiation.
With so many of the same listings flooding Amazon, tiny quality distinctions and unique design elements are going to make a tremendous difference in reviews and conversion rates. - Master customer experience. Fast delivery, informative communication, and thoughtful post-sales service still set high-end traders apart from low-cost competitors.
- prices;Long-term value optimization, not short-term gain. Do not try to match prices, emphasize repeat business and brand loyalty. The more loyal your customers are to your brand, the less sensitive to prices they are.
- Keep current on foreign trends. Chinese merchants are data-informed and extremely quick to adapt. Stay ahead of product trends, new technologies, and market information to be proactive, not reactive.
The Future of the Amazon Marketplace
Amazon’s ecosystem has become a truly global battlefield — but that’s not a bad thing. Increased competition pushes everyone to innovate, improve efficiency, and deliver better value to customers.
For U.S. sellers, the goal isn’t to outnumber competitors. It’s to outsmart them — with brand power, authenticity, and customer focus.
With more global players coming on board, the merchants that will thrive will be those that will strike a chord of efficiency with emotion, data with imagination, and world reach with neighborhood trust.
Final Thoughts
The rise of Chinese sellers on Amazon is undeniable, but it doesn’t spell the end for American entrepreneurs — far from it. In fact, it’s a wake-up call to focus on the areas that truly matter: brand, trust, and experience.
So if you’re an Amazon seller feeling the pressure of global competition, take this as motivation, not discouragement.
Keep the focus on what makes you different, hone your approach, and create something that speaks beyond price.
Because in a busy market, the greatest brand always triumphs.
