The real story behind luxury: Chinese manufacturers dish the dirt

Luxury brands like Hermes have come under the spotlight after a Chinese manufacturer exposed the costs behind making the bag.

Luxury brands like Hermes have come under the spotlight after a Chinese manufacturer exposed the costs behind making the bag.

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Published 21h ago

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In a digital age marked by transparency, a recent TikTok exposé has left consumers questioning the true value of luxury goods.

Worldwide, netizens are scrutinising the hefty price tags associated with high-end brands following revelations from Chinese manufacturers that they provide much of the labour behind these sought-after products.

The creator, known as Wang Sen, has stirred a notable frenzy online, revealing that more than 80% of luxury bags are produced in China.

In a viral video, Sen elaborates on the practices behind these luxury labels, claiming that brands like Gucci, Louis Vuitton, Prada, Chanel, and Hermès mislead consumers by attaching extravagant labels while keeping production costs exceptionally low.

“Some say as long as there is a tag saying 'Made in China', the bag can never be luxury. However, more than 80% of the luxury bags in the world are made in China. But those luxury brands just won’t acknowledge that,” he stated.

According to Sen, the process often entails brand-name companies taking nearly finished products from Chinese factories, transporting them to their own countries for repackaging, and branding them as ‘Made in Italy’ or ‘Made in France’.

@wangsen9998 Chinese manufacturing going to the US can make American people live better, not take away their jobs#senbag ♬ 原创音乐 - Wang Sen

Sen adds that consumers have been “misled and poisoned” by clever marketing strategies that promote these high-end products as symbols of superiority and status.

“Welcome to the real world. Now you see that those bags are made in China by our intelligent and diligent Chinese artisans,” he quips, urging consumers to reassess notions of luxury. 

Such revelations have compelled many to re-evaluate their notions of luxury, as consumers grapple with the idea that much of what is branded as high-end is essentially produced in the same factories that manufacture more economical options.

The impact of Sen's revelations has been profound, prompting a wave of Original Equipment Manufacturer (OEM) suppliers to step forward with similar claims.

Brands like Lululemon, Zara, New Balance, and Nike are now also under scrutiny as suppliers surface, revealing that the so-called luxury dichotomy may extend beyond bags into clothing, technology, and even lighting fixtures.

As part of this narrative, Sen provided shocking cost comparisons, stating that an Hermès Birkin bag, often priced at an eye-watering $38,000, requires merely $1,395 to construct.

@lunasourcingchina Manufacturers behind Nike, Addidas, fila, new balance……..! #sourcingtips #sourcingagent #yiwuagent #Lunasourcingchina #chinasource #nike #adidas #fila #newbalance #timberland #shoemanufacturer #shoefactory #factory#chinashipping #wholesale #directfactory #nailfactory #chinasupplier #fyp #tiktokrefugee ♬ original sound - LunaSourcingChina

This stark contrast begs the question: Why do consumers willingly pay such inflated prices for products that originate from the same source?

The conversation surrounding this issue is more than just about handbags; it's become a dialogue about consumerism and marketing tactics.

Commenting on Sen's video, users echoed a collective realisation.

One user, @freethinker11111, stated, “The real poison/brainwash is convincing people that so-called luxury products give them a sense of importance and value.”

@ejbegrh observed, “Always had doubts about that, but you clear everybody’s heads. They’ve always been ripping us off with those prices.”

Even the more simplistic insights from users like @luciel385, who said, “It’s crazy how people didn’t know that China makes almost everything we see in the stores,” reflect an evolving consciousness among consumers regarding the origins of their purchased goods, along with questioning the established perceptions of luxury brands.

As the US-China trade war heats up, discussions like these indicate a significant shift in the marketplace, one that aims to cut out the middleman and unveil the realities of production.

While luxury brands may retain their allure, it’s clear that the narrative surrounding them is undergoing a seismic shift.