By skyforbes 
China managed to show a mirror to all of us.
It’s a tale as old as time. For decades, luxury goods have held an almost sacred place in modern society. People, especially younger generations, buy them to feel special or show off on social media. But a few days ago, Chinese factories on TikTok flipped this world upside down. They showed that many luxury goods are made in China for a tiny fraction of their price. This revelation, sparked by U.S.-China trade tensions and 145% tariffs, has huge implications for how we think about “stuff.”
Luxury goods aren’t just things – they’re a vibe. They promise exclusivity and make us feel successful. Millennials and Gen Z spend big on them, with nearly half of luxury sales in 2023 coming from people under 40. Brands like Hermès or Rolex sell a story of fancy European craftsmanship, even if it’s not always true. It’s about looking rich, not needing the item.
In April 2025, Chinese factories posted TikTok videos showing they make luxury goods sold for insane markups. One video claimed a $38,000 Birkin costs $1,400 to produce. Others showed “Made in Italy” bags coming from China. With tariffs hurting their business, factories started selling directly to buyers on apps like DHgate. Luxury brands like Hermès insisted their…