Published by ChinaMNC · Dazi

Jiangsu's Small-Product Export Boom: Lessons for Foreign Founders Operating in China

Jiangsu's foreign trade rose 29.8% year on year in the first three quarters, with smaller consumer and seasonal goods driving exports. Here is what foreign founders can learn about certification, customs and market access.

Jiangsu Trade Growth at a Glance

According to Nanjing Customs, Jiangsu's total foreign trade in the first three quarters of this year reached RMB 5.69 trillion, up 29.8% from the same period last year. That growth rate was 11 percentage points higher than the national average. Beyond large equipment, smaller manufactured products are playing a notable role in driving export volumes.

For foreign founders building a company in China, these examples show how product positioning, trade certificates and customs procedures affect export competitiveness.

Hotel Textiles: Product Quality and Tariff Certificates

Hotel linens are currently in their annual export delivery peak. In the workshop of Jiangsu Kangnaixin Textile Technology Co., Ltd., raw materials go through multiple drawing and spinning processes to optimize fabric. The company's customs affairs manager, Chen Qian, said its products are soft, skin-friendly and more wash-resistant, needing gradual replacement only after about a year and a half. Using yarn fabric of the same density, the company says it can produce consistently high-quality products and win orders from well-known hotel groups at home and abroad.

With a China–ASEAN Free Trade Area certificate of origin issued by Huai'an Customs, the tariff rate on the company's products dropped from 12% to zero, greatly reducing customers' import costs and helping the company retain existing clients and open new markets. From January to August this year, the company's export value reached RMB 180 million.

The company also offers customized products for different overseas markets. For Southeast Asia, the Middle East and Africa, it developed special pool towels and colored towels that resist intense tropical sunlight and pool conditions without fading for long periods. For the high-end hotel market, it used exclusive deodorizing technology to develop a waterproof, fragrant down duvet.

Practical takeaway

Certificates of origin under free trade agreements can materially lower your buyers' landed costs in China. Founders should confirm which agreements apply to their product and destination before pricing exports.

Sleep Products: Finding a Niche

As demand for quality sleep rises, more consumers at home and abroad are willing to pay for sleep-aid products. Suzhou Jili Silk Co., Ltd., a time-honored enterprise in Zhenze, Wujiang, identified demand for comfortable, light-blocking sleep and created a silk cooling weighted eye mask. General Manager Zhu Wenchao said the mask suits fully dark sleep environments and combines cooling, breathability, softness and pressure relief. Monthly sales have held above 100,000 units, and exports of silk eye masks more than doubled year on year from January to September. Export sales account for 65% of total sales, covering 46 countries and regions.

Suzhou Opple Lighting Co., Ltd. targeted consumers who prefer soft light and atmosphere for sleep. It developed patented lotus-color light sleep-aid technology that extracts a special pale pink tone from the spectrum and optimizes spectral bands to support melatonin secretion and create a relaxed pre-sleep environment. Jiao Weide, the company's overseas supply chain head, said the patented technology, combined with origin preferential policies, has kept exports improving this year.

Seasonal Goods: Certificates and Faster Customs

Autumn is a peak delivery period for Christmas items such as ribbons and bells. Toy and craft factories across Jiangsu are producing and packing goods for global shelves.

At Yangzhou Anbeisi Toy Co., Ltd., shelves are filled with alpacas wearing Santa hats and snowmen with scarves, while workers make Christmas plush toys for ASEAN markets. With a China–ASEAN certificate of origin issued by Yangzhou Customs, these plush toys receive a 10% tariff preference locally. Foreign trade manager Lu Chunhua said the company applied for 23 free trade agreement certificates of origin in the first three quarters, saving nearly RMB 300,000 in importing-country tariffs. In the same period, Yangzhou Customs supervised exports of toy products worth about RMB 1.52 billion and issued 367 free trade agreement certificates of origin.

Customs speed matters as much as tariff relief. At Taizhou Feiyan Crafts Co., Ltd., workers are rushing to make feather boas, angel wings and other Christmas crafts. General Manager Dai Xingquan said this is the busiest production period each year because customers must meet shipping schedules. Customers generally asked for delivery one month earlier this year, and once this batch ships, the company will switch to Easter products. In the first three quarters, Taizhou Customs supervised exports of Christmas decorations worth RMB 1.7378 million, up 96.17% year on year.

At Pengyunxin General Merchandise Store in Mocheng Street, Changshu, head Zhang Shuangshuang counted inventory among cartons. Ribbons and bells sell best before Christmas, and every export batch must include them. Through market procurement trade, goods can be consolidated and packed without waiting and reach destinations in just over a month. Changshu Customs has created a dual customs channel of "transit plus integration," allowing market procurement goods to be exported through 149 ports nationwide, with the fastest clearance from declaration to release taking only 22 minutes.

Food Exports: Moving Up the Value Chain

Lotus root ponds in Baoying County are being harvested, with fresh roots sent directly to the processing workshop of Yangzhou Tiancheng Food Co., Ltd. Foreign trade manager Diao Yuhong said exports of lotus root products exceeded RMB 28 million in the first three quarters, with orders booked into early next year and strong market demand. Yangzhou Customs supervised exports of lotus root and related products worth more than RMB 100 million in the first three quarters, up about 3% year on year. The industry is shifting from selling fresh lotus root to deep processing: a single root can become boiled, salted or quick-frozen products sold to Southeast Asia, Europe and the United States.

What This Means for Foreign Founders

• Use trade agreements. Certificates of origin can reduce or eliminate tariffs for your Chinese-made goods in partner markets.
• Plan for peak seasons. Christmas and other seasonal orders require early production and shipping arrangements.
• Customize for markets. Product adaptation for climate, culture and use cases supports premium positioning.
• Choose efficient customs channels. Market procurement and integrated clearance can shorten delivery times.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.

Foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for help registering and operating a company in China.