Technology

• Chinese immigrants in America are offering their living rooms and garages as warehouses to cross-border sellers on Temu, TikTok, and Amazon.
• The mini fulfillment centers help deliver orders, examine returns, and sell excess inventory to local stores.
• The U.S. government’s “de minimis” crackdown may pressure more Chinese sellers and platforms to work with warehouses in America.

As demand for warehouses soars, many cross-border sellers are finding it more cost-effective to store their goods in the U.S. This shift is driven by the rapid growth of e-commerce platforms like Temu, Shein, and TikTok, which have made it easier for small Chinese manufacturers to tap into the American market.

On Chinese social media platforms Xiaohongshu and Douyin, dozens of accounts are advertising so-called “family warehouses,” located in cities including Los Angeles, New York, Philadelphia, and Austin. They offer fulfillment service, which means shipping out packages whenever orders are placed. They also discard excess inventory and returns. Some help re-label Amazon products when the corresponding listings or accounts get blocked, so the goods can be shipped back to Amazon warehouses under new listings.