On Friday, Amazon.com announced the expansion of its budget e-commerce platform, Amazon Bazaar, known as Haul in the US, to 14 more markets. This move intensifies competition with Chinese companies like Shein and PDD Holdings’ Temu in the global market for ultra-affordable products, including $10 dresses and $5 accessories.
Import tariffs imposed by former US President Donald Trump have negatively affected consumer confidence, particularly among low-income groups seeking cheaper options.
The standalone Amazon Bazaar app offers similar products to Amazon Haul, the cost-effective shopping section within the Amazon app, launched last year.
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Launched in Mexico last year, Amazon Bazaar will now provide a wide range of products under $10, with some priced as low as $2, to its newest markets, including home goods and fashion, according to the e-commerce leader.
Among the new markets for this affordable e-commerce service are Hong Kong, the Philippines, Nigeria, and Taiwan. Since its launch in Mexico, Bazaar has also expanded to Saudi Arabia and the United Arab Emirates.
“The expansion of Amazon Bazaar marks a significant step in Amazon’s global expansion,” stated Gil Luria, an analyst at D.A. Davidson Co. “Amazon only enters a market when it believes it can scale successfully, delight consumers, and build a profitable business.”
Luria noted that Amazon often requires several years to achieve profitability in new countries and markets. The company reported international revenue of $40.9 billion for the third quarter, a 10% increase from the previous year, excluding foreign exchange effects.
“If Amazon can establish a business selling a small range of very low-cost items with high service quality, it can expand beyond its core 23 markets to nearly every country worldwide,” Luria added.
Amazon stated that products on Amazon Bazaar are shipped directly from its global fulfillment centers and delivered to customers through its network of service partners.
Shein and Temu have also accelerated their expansion beyond the US. According to its website, Shein now operates in over 160 countries, including the US, Brazil, Ireland, and Southern China. Temu ships to at least 70 countries.
The US operations of both companies faced challenges when the Trump administration ended the de minimis trade exemption, which allowed packages valued under $800 to enter the US duty-free.
Amazon launched Haul in the US in 2024 and has since expanded this in-app service to the UK, Germany, France, Italy, Spain, Japan, and Australia.
