In this Ecom Crew podcast episode, Dave discusses the apparent decrease in Chinese sellers on Amazon, attributing it not to tariffs but to new Chinese government regulations requiring internet platforms like Amazon to report income data of Chinese-based businesses. This has led to panic among Chinese sellers who have been under-reporting income and now face scrutiny due to the lack of official receipts (FAPIAOs) for Amazon fees. Consequently, many Chinese sellers are forming US LLCs to safeguard their assets, leading to a misrepresentation of seller origins in third-party data reports, as these reports only reflect the registered business address.
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