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Tile market hangs "Sheeps" selling "dog meat"
In the ceramic tile market, there's a noticeable gap between domestic and imported products in terms of pricing. Domestic tiles typically cost tens of yuan per square meter, while imported ones can reach hundreds of yuan. This price difference has led many consumers to perceive domestic and imported tiles as distinct in quality and value. However, Zheng Yue, a customer currently shopping for ceramic tiles, doesn’t feel the need to go for imported options. He points out that even if a product is labeled as imported, it may not be genuine. In fact, the real issue isn’t the label but the authenticity of the product. Buying so-called "pseudo-imported" items at a high price is considered misleading and frustrating.
Many domestic brands use foreign-sounding names to attract buyers, but upon closer inspection, these brands are actually produced locally. Jiuzheng Building Materials Co., Ltd. warns that brand names that resemble foreign ones often hide the fact that the products are made domestically. Some companies even register their businesses abroad or collaborate with foreign partners to create the illusion of being international. Once they obtain a foreign "identity," they start sourcing products from southern manufacturers and then market them as imported, significantly increasing their perceived value.
Even when a brand is officially licensed by a foreign company, it’s not uncommon for the products sold domestically to be manufactured locally. A sales representative from a well-known Italian tile brand revealed that 90% of the products available in China are designed and produced in the south, using foreign design elements. While customers can request pure imported tiles, the cost is much higher. The salesperson didn’t try to hide this information from nearby shoppers, suggesting that such practices have become an industry norm.
Industry insiders explain that even with legitimate agency rights, some businesses prefer to mix imported and domestic products to maximize profits. Purely imported tiles come with higher costs and lower profit margins, making them less attractive for retailers. By selling both types of products, businesses can maintain profitability while keeping prices competitive.
The idea of purchasing foreign brand agency rights is not uncommon. As one store manager, Mr. Liu, explained, "Foreign agent rights can be bought and sold. Just because you have the right doesn’t mean you’re selling the actual product. Many people buy the rights, order from the south, and then sell the products as imports." Although his explanation sounds logical, concrete examples of such practices are hard to find due to the tight connection between brand ownership and agency rights.
According to industry sources, "proxy trading" in the ceramic tile sector does exist, but it’s rare. Most foreign companies are cautious about protecting their brand reputation and avoid situations where their products could be misused. As a result, such practices are more common among smaller foreign tile brands rather than major global players.