A practical guide for South Asian sellers to combine Alibaba sourcing with Amazon selling, and the compliance and payment mechanics to get things right
Key takeaways
- Amazon doesn’t operate a local marketplace in Pakistan or Bangladesh. Sellers based in these countries can still list as cross-border sellers on Amazon US, UK or Europe
- Amazon allows dropshipping and reselling, but has specific rules on who must be identified as the seller of record and how orders can be fulfilled
- Sourcing from Alibaba means buying from suppliers who are typically manufacturers or authorised wholesalers, which makes reselling on Amazon compatible with the platform’s policies
- The financial side involves paying Chinese suppliers in CNH and receiving Amazon payouts in USD, GBP or EUR
Sourcing products from Alibaba suppliers and reselling them on Amazon is a common cross-border e-commerce model, and South Asian sellers have been running it successfully for years.
For sellers in Pakistan and Bangladesh, this is the default route to Amazon, since Amazon does not operate a local marketplace in either country. Cross-border listing on Amazon US, UK or Europe is how you reach global buyers from these markets.
This guide walks through Amazon’s rules on Alibaba-sourced reselling, the step-by-step process, and how to handle payments across the CNH, USD, GBP and EUR corridors involved.
Can you actually sell Alibaba products on Amazon?
Yes, both as a reseller (buying inventory and shipping to Amazon fulfilment centres) and as a dropshipper (listing products first, then ordering from Alibaba when a customer buys). Amazon permits both models, provided the seller follows the platform’s rules.
The main requirements are:
- You must be identified as the seller of record on Amazon and in all shipping materials. Packing slips, invoices, external packaging and any inserts must carry only your business identifier, not the Chinese supplier’s.
- You handle returns and customer service directly. Amazon expects the seller to manage all customer-facing communication, refunds and return logistics.
- You cannot use another retailer to ship on your behalf under their own branding. Amazon specifically prohibits sourcing products from another online retailer and having that retailer ship directly to the customer under their branding.
Reseller vs dropshipping: which model fits?
Two main approaches work for South Asian sellers combining Alibaba with Amazon:
Reseller / Amazon FBA
The seller buys inventory in bulk from an Alibaba supplier, ships the inventory to an Amazon fulfilment centre in the US, UK or Europe, and Amazon handles storage, packing, shipping and returns through Fulfilment by Amazon (FBA).
Pros: Amazon handles the logistics, product listings qualify for Prime, delivery times to end buyers are fast.
Cons: Requires upfront capital for inventory, storage fees add up, and unsold stock ties up cash.
Dropshipping
The seller lists products on Amazon without holding inventory. When a customer orders, the seller places a matching order with the Alibaba supplier, who ships directly to the customer under the seller’s branding.
Pros: Low upfront capital, no warehouse costs, easy to test new products.
Cons: Shipping times from China are long (10 to 30 days, depending on method), which conflicts with Amazon buyer expectations. Margins are thinner, and quality control sits entirely with the supplier.
The step-by-step process to source from Alibaba and sell on Amazon
Step 1: Pick the Amazon marketplace to target
Amazon has separate marketplaces for the US, UK, Germany, France, Italy, Spain and other countries. Sellers in Pakistan and Bangladesh can register on any of these marketplaces as international sellers. The US marketplace is the largest by buyer volume; the UK and European markets are next.
Step 2: Research products and find suppliers on Alibaba
Use Alibaba’s search filters to find products that match Amazon buyer demand. Look for suppliers with Trade Assurance, Verified Supplier or Gold Supplier status. Request samples before committing to bulk orders, and check the supplier’s ability to ship without their own branding on packaging.
For dropshipping specifically, confirm the supplier can handle single-unit shipments at agreed pricing, and that they’ll ship with only your business branding on the outside.
Step 3: Register on Amazon and list products
Create your Amazon seller account, complete tax and identity verification, and set up your payout method. Amazon requires bank account details for payouts, typically in the currency of the marketplace (USD for Amazon US, GBP for Amazon UK, EUR for European marketplaces).
List products with clear titles, high-quality images (ideally your own product photography, not stock supplier images), detailed descriptions and accurate specifications. Amazon rewards optimised listings with better search visibility.
Step 4: Ship inventory (reseller) or set up dropshipping fulfilment
For FBA: Work with a freight forwarder to ship inventory from your Alibaba supplier directly to the Amazon fulfilment centre. Freight forwarders handle customs clearance at the destination country and coordinate with Amazon on delivery specifications.
For dropshipping: Set up a workflow (manual or through a plugin) to place orders with the supplier immediately when Amazon orders come in, and confirm the supplier ships with agreed packaging.
Step 5: Handle payments both ways
This is where the payment side becomes central. Two currency flows run in parallel:
- Paying the Chinese supplier in CNH from your account
- Receiving Amazon payouts in USD, GBP or EUR from Amazon’s marketplaces
Handled through a standard bank in Pakistan or Bangladesh, both flows involve currency conversions with fees at each step.
Managing the payment side with a World Account
Running an Alibaba-to-Amazon business means dealing with two payment flows: paying Chinese suppliers on one side, and collecting Amazon payouts on the other. Both flows involve different currencies, and both are where margin can quietly disappear if the setup isn’t right.
The World Account is a multi-currency account from WorldFirst, an international payments provider for cross-border businesses. Here’s how each part of the flow works with a World Account:
- Local currency accounts collect Amazon payouts in USD, GBP and EUR. Each account has local bank details in that currency, so Amazon payouts from Amazon US, UK and European marketplaces arrive as domestic deposits rather than international wires. Funds can be held in the original payout currency instead of being converted immediately.
- The World Card can be used to pay Amazon seller fees and Alibaba suppliers. The World Card is a Mastercard-powered business payment card linked to the World Account. It can be used to pay Amazon’s monthly professional seller fee, referral fees and FBA charges directly from the USD balance in the account. It can also be used to pay Alibaba suppliers who accept card payments, drawing from CNH or USD balances depending on the supplier’s requirements.
- World Pay handles 1688.com supplier payments. For sellers also sourcing from 1688.com alongside Alibaba, World Pay is the authorised international payment provider for the platform and supports direct CNH payments from the World Account.
- Card-level controls suit multi-user teams. Up to 20 virtual cards can be issued at no additional cost, each with individual spending limits. No fees apply when paying in any of the 15 supported currencies, with sufficient balance held in that currency. Cashback is available on eligible spending (Terms and Conditions Apply).
This article is intended for informational purposes only and does not constitute legal advice or professional advice. This article should not be regarded as constituting an offer or a solicitation to buy or sell any regulated or financial products or services. WorldFirst makes no representations or warranties regarding the accuracy, completeness, or applicability of the content, and readers are encouraged to consult with legal professionals or other professionals for advice tailored to their specific situation. WorldFirst does not guarantee the accuracy and completeness of this article and expressly disclaims any and all liability to any person in respect of the consequences of anything done or omitted to be done wholly or partly in reliance on this article.
