Temu and Shein plan to raise prices for U.S. customers starting next week on April 25th, due to President Donald Trump’s tariffs on goods shipped from China, the Associated Press reports.
The 145% tariff on products made in China, along with Trump’s decision to end a customs exemption that had allowed goods under $800 to enter the U.S. duty-free, has disrupted the business models of both platforms. The report says nearly 4 million parcels, most of them from China, enter the U.S. every day under this soon-to-be-ended exemption.
Shein and Temu have gained significant popularity in the U.S. over the past few years due to the platforms’ discount pricing and influencer advertising.
The Wall Street Journal reported last year that Amazon now sees Shein and Temu as bigger threats to its business than retailers like Walmart and Target. In November, Amazon launched Amazon Haul, a storefront that offers mass-produced and discounted items to take on Shein and Temu.
Shein and Temu are encouraging customers to continue shopping. The companies say they will ensure orders arrive on time and are doing what they can to minimize the impact on shoppers.
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