Is it possible to create a create a custom post type for every product in this APIs and publish it on the website?
Yes, loop through the results, and for each result, check if the post already exists. If it doesn’t use wp_insert_post
to create the post. Try doing it on a cron job so it happens at regular intervals
Alternatively, if it does not require a user/pass and authentication, you can fetch the data in the browser using javascript from the client side. That way it will always remain current, and you reduce the load on your server
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