A so-called 'bloodbath' has been seen on TikTok after Chinese manufacturers reveal the 'real cost' of the luxury fashion items that are popular in America, as many customers are left in shock after it's just a fraction of what they paid at the checkout.
US President Donald Trump's earthquake tariff plans have caused major instability in the global markets, and the ramifications have been felt in almost every area of the economy.
On a wider scale, experts indicate that the tariffs could 'reshape' major parts of key US industries, and they have already had devastating effects on many of the world's richest individuals too.
However, the tariffs have arguably had their most significant effect on the average American consumer, as the price of almost everything they buy has been hiked up as a consequence. There are still some deals to be had for US-based brands, but people are already able to see the major consequences on their wallets so far.
Advert
Prices could increase across your Amazon product purchases, and you will also likely see a bump in the cost of plane tickets as a wider ripple effect of the tariffs on the economy. Gamers have also been left frustrated as the Nintendo Switch 2's pre-order date was delayed, and there's still uncertainty surrounding the price.
However, one surprising and perhaps beneficial result of the panic surrounding the tariffs is the shock reveal that many of your favorite 'luxury' products could be bought for far cheaper - even with a hefty tariff slapped on top.
Many Chinese manufacturers have taken to TikTok to pull the curtains back on the 'real cost' of expensive fashion items from brands like Gucci, Hermès, and many more, leading countless people to feel like they've been 'ripped off' otherwise.
Advert
Accounts promoting these Chinese manufacturers have called this process 'luxury brainwashing', indicating that you're paying a premium of up to 10x simply for the brand name and the 'idea' of it being made somewhere else.
"Why pay €2,000 for 'Parisian air'? Same leather, same craft, just without the European fairy tale tax," argues one account before prompting viewers to shop directly from Chinese retailers instead.
Buying a Birkin 25 in the US right now costs around $12,000, so in theory you could get the 'same' product for just $1,200 by buying directly from the Chinese manufacturer, saving you a significant amount of money by cutting out the middle man - even if this would be around $1,740 following the 145% tariffs.
Another video from @sheismanib reveals that items like Chanel's beauty lineup are being made for $10 by Chinese manufacturers but sold for $100, praising accounts sharing this information for 'playing their hand' in way that exposes the 'truth' to consumers.
Advert
President Trump's current 145% tariff on Chinese exports to America might seem steep at first glance - and no doubt it is for large parts of the industry - but if what these account are sharing is true then you'd still be saving a boat load of money compared to the increase that luxury brands are adding for the sake of a name and label.