Yiwu sets global biz rhythm for Christmas trade

YIWU — As shoppers worldwide were still on the hunt for last-minute gifts earlier this month, the real pulse of the global Christmas economy was beating strong in Zhejiang province's Yiwu, often dubbed the "world's small goods capital".

Kuwaiti merchant Kamel Mumen exemplifies a dynamic forward-thinking cycle. Amidst a rich variety of ornaments, he meticulously selects Santa hats — not for this December, but for Christmas of 2026. His early planning is the norm here, where factories are deep in preparation for the next holiday season.

At the Yiwu Junhong Christmas Costumes & Gifts Factory, owner Jiang Jiangping expects to roll out over 400 new products for next Christmas. "After October, our focus shifts entirely to designing for the next year," said Jiang, whose factory offers nearly 2,000 items. "We've already created over 200 custom designs for European clients."

As the world's largest Christmas goods hub, Yiwu manufactures about two-thirds of the world's festive products, shipping over 20,000 varieties to more than 100 countries annually. Customs data reveal robust growth — exports in the first three quarters hit 5.17 billion yuan ($737.8 million), a surge of 22.9 percent year-on-year.

The boom arrived earlier this year. Amid global trade uncertainties, foreign buyers are stockpiling well in advance. Orders that traditionally peaked in summer began flooding in by April this year. Yiwu customs officials reported a staggering year-on-year increase of over 90 percent in May exports alone. June saw 890 million yuan in exports, half the first-half total, rising to 1.11 billion yuan in July and nearing August's 1.39 billion yuan.

This agility is powered by a formidable regional industrial ecosystem. Zhejiang's integrated support framework — combining agile supply chains with policy, logistics and financial backing — ensures Yiwu's reliable delivery to the world.

Innovation is the cornerstone of Yiwu's competitive edge. At Yiwu Luochen Crafts, two dancing Santas, which are among the newest designs for next Christmas, move to holiday tunes.

"These products are priced one-third higher than traditional ones," said manager He Jun, noting that AI advances and rising market demand encourage his business to innovate, especially to develop interactive products continuously.

He said designing a dancing Santa usually involves collaboration with more than 20 supply-chain partners, forming a strong industrial ecosystem that enables his firm to roll out roughly 300 new designs annually.

Zhejiang Aoshan Crafts allocates 30 percent of annual profits to research and development. Using robotic arms, a Christmas ball can be assembled in just two seconds, and new machinery has raised productivity by 20 percent.

At a Christmas decor store in Yiwu, streetlamps with an artificial snowfall system draw crowds for photos. The company's manager, Long Xijin, said the system was independently developed in 2022 and secured a patent in the United States in 2024, making Yiwu the exclusive source for such products in the US market.

Cai Qinliang, secretary-general of the Yiwu Christmas Products Industry Association, believes that continuous product innovation and increased R&D investment have strengthened the sector's export resilience.

In an era of supply chain flux, Yiwu has cemented its role beyond a mere sourcing destination. As local merchants put it, the world needs celebration, and celebration needs Yiwu. It has become essential infrastructure for the global festive economy and trade itself, setting the rhythm for Christmas worldwide — one year ahead of schedule.

Xinhua