While the COVID-19 pandemic has significantly disrupted the global supply chain (in large part through extended closures of many Chinese factories), China remains one of the world’s most important manufacturers.
Recent events have illustrated the importance of diversifying your brand’s supply chain, but China will likely remain a dominant force in global manufacturing. Here are some of the diverse product categories where China continues to play a major role:
1) Cleaning Products
Everything in this category has been selling off the shelves in 2020. We’ve seen brands launch hand soaps, hand sanitizers, sprays, and more. The trend towards working and living in a clean environment will only grow after 2020.
Though many of these products are harder to custom formulate, there are a number of private label options you can create through Sourcify. This enables you to lower your startup overhead while getting into a high growth industry.
Most people in 2020 have worn jeans far less than years prior. When people are staying inside or hanging out with friends, they want to be comfortable. That is why in 2020, many athleisure brands have seen a huge spike in growth.
Creating a athleisure brand isn’t rocket science and even though the industry is already pretty crowded, we continue to see growth in this segment as more shoppers look for athleisure brands that they resonate with.
3) Cooking Kits
People are cooking at home more than ever right now and in order to meet their new hobby, they’re buying more cooking kits. These kits can focus on new cooking tools like bread making machines or new cocktail creations. At the end of 2020, more of the world will be cooking from home than ever before.
This category isn’t the easiest to break into but there are several private label options here if you don’t want to develop your own custom product.
4) Home Appliances
China is also a leading manufacturer for many home appliances. From HVAC equipment to washing machines and refrigerators, the country produces millions of units for both domestic use and exports, with billions of dollars worth of goods exported each year.
A report from China Daily notes that the COVID-19 pandemic is expected to increase demand for products like air purifiers, sterilizing washing machines and automatic hand washers.
5) Artificial Flowers
Artificial flowers may not seem like the most lucrative industry, but they are actually big business in the United States. A report from Quartz reveals that the U.S. imported $392 million worth of plastic artificial flowers and $443 million worth of non-plastic artificial flowers from China in 2018. That represents 97 percent of all imports in this product category.
Market analyses indicate that the demand for artificial flowers will continue to grow in the coming years, especially for commercial use.
6) Home Gyms
2020 has changed the way people workout and China is the largest manufacture of gym equipment. If you ever thought of creating a workout program or new type of home gym, now is the time.
More people are sweating it out at home than ever before for safety concerns over public gyms. Creating a new home gym system can be complex but you can private label many existing models in China.
7) Clothing and Accessories
Southeast Asia provides much of the manufacturing power for the world’s clothing and fashion accessories, and China is no different. While economic trends have seen declines in China’s dominance of the textile industry, it continues to be the world’s leading exporter.
According to Statista, in 2018 China accounted for 37.6 percent of the global textile market. While there are many other countries that also produce textiles, China continues to be an attractive option thanks to material availability and low labor costs.
From bathroom vanities to sofas, much of the world’s furniture is manufactured in China. World’s Top Exports reports that furniture product exports exceeded $27 billion in 2019.
Related product categories, such as bedding, lighting and prefab buildings brought the total value of exports up to $96 billion, making it one of China’s most important areas.
9) Baby Strollers
The Quartz report mentioned earlier also noted how the United States is particularly reliant on China for baby strollers. In 2018, 95 percent of U.S. baby stroller imports came from China, with an estimated value of $294 million. While the rest of the world isn’t as heavily reliant on China for its baby strollers, the country is still responsible for 58 percent of global imports.
Growth has also occurred with other baby products, especially as demand has risen within China. IBISWorld reports that the market for baby products like toys, skincare products and baby food grew by an average of 7.8 percent per year between 2013 and 2019.
10) Arts and Crafts
China is a major producer for some of the world’s largest arts and crafts stores. With more people looking for home activities in 2020, starting a brand focused on arts and crafts could be a big win.
The challenge here revolves around the sourcing of all the supplies that you may need in a arts and craft oriented game. With so many pieces involved, you’ll probably end up working with a experienced trading company.
China’s Manufacturing Might
The fallout from the COVID-19 pandemic is likely to result in many dropshipping founders changing how they supply products and materials for their business.
However, China already has the infrastructure in place to manufacture these and other major products. As China gets back to work, brands can expect their product shipments to gradually return to normal.