Hangzhou's Seaweed Network Suddenly 'Explodes', Suppliers Seek Rights, Industry Impact

TapTechNews August 2nd news, according to Chao News, recently, The cross-border import service provider in Hangzhou, Seaweed Network, suddenly exploded, employees were laid off on the spot, and suppliers came to safeguard their rights. Regarding the reason for the explosion, there are various opinions in the industry, Some say it is suspected of under-reporting in cross-border e-commerce with a huge amount, and some say it is that it cannot pay the debts owed to suppliers.

One day before, a video about the explosion of Seaweed Network and suppliers coming to ask the company to pay off the arrears flowed out. The report mentioned that the office of Seaweed Network in Hangzhou has no one working, and there are still some personal items left on the desks of employees. Some employees said that Seaweed Network has been operating relatively steadily since 2015, and this change came very suddenly.

The report also said that Li Daiyun, the director of the imported cross-border e-commerce operation network Little Frog Cross-Border, felt shocked and regretted: This company is one of the industry leaders. In addition to the self-operated cross-border import platform, it is also engaged in cross-border e-commerce saas software services and has been operating well in recent years.

Lawyers entrusted by Seaweed Network are also handling affairs at the company site. The lawyer said that At present, the debts owed by suppliers are paid off at a 30% discount of the debt amount. But for the 30% discount payment plan, some suppliers accepted and received the debts, but many suppliers did not accept this plan.

TapTechNews found out that Seaweed Network belongs to Hangzhou Chengtao Network Technology Co., Ltd., which was established in 2014 with a registered capital of more than 1.58 million yuan, and has obtained a total of more than 100 million venture capital funds in three rounds from Meihua Venture Capital, Ether Capital, NewLook, Xinghe Interconnection, etc., and officially completed the A+ round of 65 million financing led by Mia in April 2018.

Seaweed Network is a cross-border maternal and child B2B e-commerce platform, and its products include various categories such as milk powder, diapers, baby complementary foods, maternity and baby products, toys, etc. All goods are sourced from overseas origins and have cooperated with more than 100 brands in Europe, Australia, Japan, South Korea, etc.