Group 1: Changes in Trade Dynamics - The trade model in Yiwu has evolved from traditional "sitting merchants" to "cloud merchants," with merchants now engaging directly with global consumers through live streaming and digital platforms [1] - The introduction of AI applications in Yiwu's international trade city has significantly enhanced operational efficiency, with one jewelry store reporting a threefold increase in new product development efficiency [1] - The global trade center has registered over 30,000 users, with AI product usage exceeding 1 billion times [1] Group 2: Product Development Focus - Yiwu merchants are shifting from a "low-margin, high-volume" strategy to emphasizing design, research, and brand development, collaborating with downstream clients to create products [2] - There is a noticeable improvement in the quality of Yiwu products, with foreign buyers expressing interest in advanced items like drones and robotic equipment [2] - The transition from "manufacturing" to "intelligent manufacturing" reflects a pursuit of higher product value [2] Group 3: Global Market Position - Yiwu has transformed into a crucial logistics hub and trade coordination center along the "Belt and Road" initiative, moving beyond being just a starting point for Chinese goods [3] - The "Yi Xin Ou" China-Europe freight train service has seen an 18.3% year-on-year increase in trips during the first three quarters of the year, enhancing Yiwu's connectivity with global markets [3] Group 4: Consistent Core Values - The enduring commercial instincts of Yiwu merchants remain unchanged, as they continue to adapt quickly to market trends and consumer demands [5] - The flexible supply chain and collaborative production networks in Yiwu allow for rapid product development and delivery, maintaining a competitive edge [7] - The proactive service mindset of the Yiwu government has been a constant, focusing on creating a supportive environment for market participants through infrastructure and policy improvements [8] Group 5: Economic Resilience - Yiwu exemplifies the resilience and vitality of the Chinese economy, showcasing confidence and strength in navigating economic challenges [9]

Core Viewpoint - The resilience of Yiwu merchants is exemplified through their ability to adapt and learn from challenges, such as the ongoing trade tensions and tariff wars, showcasing the strength of China's foreign trade sector [1][8]. Group 1: Supply Chain and Market Adaptation - Yiwu's small accessory industry relies on over 100 upstream suppliers to ensure product quality and variety, highlighting the completeness of the supply chain as a significant advantage for domestic foreign trade enterprises [3][16]. - In response to the tariff war, Yiwu merchants have shifted from passive selling to actively reaching out to various clients, demonstrating a proactive approach to maintaining business [3][24]. - The trade network in Yiwu is characterized by a complex production, trade, and logistics system, making it a hub for international trade knowledge and practices [6][7]. Group 2: Impact of Tariff Wars - The recent tariff increases, particularly the 125% tariff on Chinese goods, have created significant challenges for Yiwu merchants, leading to a temporary decline in order volumes and cash flow issues [5][22]. - Despite initial anxiety, many merchants, including those like Xiao Xiangyong, believe that high tariffs will not last long due to the lack of viable alternatives to Chinese manufacturing [5][16]. - The tariff situation has prompted merchants to explore alternative trade routes, such as transshipment opportunities, to mitigate the impact of tariffs on their businesses [12][13]. Group 3: Strategic Shifts and Innovations - Merchants are increasingly recognizing the need for quality management and product development, moving away from the past reliance on sheer volume and low prices [18][30]. - The shift in market dynamics has led to a focus on domestic markets, with plans to increase domestic revenue significantly over the next few years [19][30]. - Yiwu merchants are also leveraging social media and other platforms to attract new customers and adapt their product offerings to meet changing market demands [24][25]. Group 4: Resilience and Future Outlook - The experiences of Yiwu merchants during past crises, such as the 2008 financial crisis and the COVID-19 pandemic, have equipped them with the resilience to navigate current challenges [30][31]. - Observations indicate that after the recent tariff tensions, there has been a swift return of orders from the U.S., with Yiwu businesses entering a "catch-up" mode to fulfill demand [32]. - The future strategy for Yiwu enterprises includes diversifying markets, enhancing technological capabilities, and increasing product value to remain competitive in a changing global landscape [32].

Group 1 - The article discusses the impact of the US-China tariff war on international trade, particularly focusing on the experiences of businesses in Yiwu, China [2][8][36] - Yiwu has developed a complex production, trade, and logistics network, making it a significant hub for small commodity exports to over 230 countries [6][8] - Business owners in Yiwu, like Xiao Xiangyong, have shown resilience and adaptability in response to changing trade conditions, including the recent tariff increases [7][11][19] Group 2 - The article highlights the proactive strategies adopted by Yiwu merchants to mitigate the effects of high tariffs, such as seeking alternative markets and adjusting pricing strategies [12][14][26] - The tariff situation has led to a significant drop in order volumes, with some businesses reporting a 30% reduction in foreign trade orders [14][22] - Despite challenges, Yiwu merchants are exploring new opportunities, including domestic market expansion and product innovation, to sustain their businesses [20][36][37] Group 3 - The article emphasizes the importance of maintaining a robust supply chain, as many Yiwu businesses rely on over 100 upstream suppliers to ensure product quality and variety [18] - The experiences of Yiwu merchants during the tariff war reflect broader trends in international trade, where adaptability and strategic planning are crucial for survival [19][31] - The article concludes with a call for Yiwu businesses to diversify their markets and enhance product value to remain competitive in a changing global landscape [36][37]