Zinus invests 100 million US dollars to build factory in the United States

The company recently announced that it will invest 108 million US dollars to set up its first factory in Georgia, USA.

Last year, the US Department of Commerce ruled that there was dumping of mattresses exported from China to the US and announced the corresponding anti-dumping duties.

 

There are many Chinese mattress manufacturers that have been sanctioned, but only two of them have been given a separate tax rate "preferential treatment": one is the Chinese mattress company MLILY, and the other is the South Korean mattress company Zinus. The tax rate of the former is 57.03%, while the tax rate of the latter is as high as 192.04%!

 

Zinus is a South Korean company. As the world's leading online mattress brand company, it is currently the largest online mattress brand in the United States. The company previously placed all the mattress production links in China and Indonesia, with three production bases in China and two production bases in Indonesia.

 

But the company recently announced that it will invest 108 million US dollars to set up its first factory in Georgia, USA.

 

The factory is expected to be completed in the first half of 2021, and will also serve as the logistics center of Zinus in North America. It is expected to create 804 new jobs.

 

Zinus is a typical online mattress brand. It entered the US Amazon platform in 2014. By 2017, Zinus' sales in the US had exceeded 600 million US dollars.

 

The company entered the Chinese market in November 2018 and settled on platforms such as Tmall, JD.com, and Suning. At present, Zinus has opened up markets in more than 20 countries around the world.

 

Although Zinus has strong online attributes, the company is different from other American mattress companies that are the main e-commerce channels in that it has both the manufacturing side and the marketing side.

 

Compared with its peers, Zinus is able to control costs better. At the same time, Zinus’s multi-market strategy also enables it to withstand the impact of a country’s economic fluctuations on its business.

 

At this time, North Zinus set up a factory in the United States. It is generally believed that it has set up its production line directly in the United States in order to avoid the US policy of imposing tariffs on China.



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