The Pangdonglai jade dispute took a sharp turn this week after the retail chain closed its official website on Tuesday. Although Pangdonglai operates just 13 stores across two cities in Henan, its influence runs deep. The decision came days after founder Yu Donglai publicly addressed accusations made by a jade-focused blogger on Douyin. The blogger, who goes by “Chaiduidui,” claimed the retailer overpriced its jade items and questioned their quality. Yu responded by stating the allegations were baseless and severely harmed the company’s reputation.
In April, Chaiduidui uploaded a video suggesting Pangdonglai sold jade worth a few hundred yuan for thousands. In response, Pangdonglai published a statement on April 8 addressing several defamation cases, including this one. On April 25, it filed a lawsuit against Chaiduidui at Xuchang Intermediate People’s Court. By April 30, the company confirmed it had received a court notice to appear in the case. The Pangdonglai jade dispute had officially moved into the legal arena.
During the May Day holiday, Xuchang’s market regulation bureau inspected Weichu Jewelry, Pangdonglai’s jade unit. Inspectors reviewed sales data and audited 13 pieces of Hetian jade for authenticity. From January to April, the company sold 4,177 jade items, earning 29.59 million yuan in revenue. The average profit margin stayed below 20 percent, according to the bureau. All jade items included valid certificates and complete purchase records, the report said.
Yu Donglai continued posting about the Pangdonglai jade dispute during the holiday, calling for accountability. He declared he would leave the company if such smear campaigns remained unchecked. On Saturday, he stressed he would permanently exit the firm if defamation went unpunished. Meanwhile, all of Chaiduidui’s jade-related videos vanished from Douyin by Tuesday evening. In one deleted clip, he had demanded Pangdonglai compensate customers for what he called “low quality” jade.
Douyin confirmed it received Yu’s complaint and removed 29 of the blogger’s videos. The platform also suspended Chaiduidui’s account for one month and warned of stricter measures. Douyin said it would wait for the court’s ruling before deciding on further action. The Pangdonglai jade dispute has spotlighted tensions between traditional retailers and digital influencers. Analysts believe such confrontations risk damaging reputations without evidence or regulatory guardrails.
Yonghui Superstores, which models its practices on Pangdonglai, voiced strong support in an open letter. “We reject publicity stunts that violate ethical business norms,” the letter said. Experts argue companies should rely on legal tools, data, and third-party verification to protect their image. CTR Market Research’s Jason Yu warned that baseless online criticism drives views but can destroy reputations. The Pangdonglai jade dispute now serves as a test case for the future of influencer accountability in China.