A women searches online on a mobile phone from in Moscow, Russia. (Image via BBC/Getty Images)

Alibaba announced on Tuesday (7/23) that it will allow US small businesses to sell its products on

The new approach was prompted by the company’s lean revenue growth which further worsened by US and China trade war. By allowing US small businesses to sell their products globally, the Chinese e-commerce giant is hoping to become a marketplace platform of choice in the United States while also fending off rivals like Amazon.

According to the company, roughly one-third of the buyers on are based in the US. While 95% of the sellers are from China.

Moreover, US merchants will also be able to sell products in several other countries served by Alibaba, including Canada, Brazil, and India which previously only able to buy on the platform.

To sell their products on, the company will charge US sellers for approximately US$2,000.

The US is Alibaba’s first global market to focus on globalizing supply, hoping to attract more manufacturers, wholesalers, and distributors. But even so, the company has a very clear approach to other markets.

An analyst of Daiwa, John Choi, said that the approach might not benefit the company in the short term, but will definitely open up new markets for its B2B business.

The US International Trade Commission showed that B2B e-commerce market can be valued at US$23.9 trillion while B2C e-commerce market is valued at US$3.8 trillion.

Over the next three years, Alibaba expects to grow 40,000 global brands.



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