Temu, Shein Raise Prices for U.S. Shoppers With Trump’s Tariff Hikes Imminent
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Shoppers in the United States are bracing themselves for higher prices from Chinese e-commerce platforms such as Temu and Shein may soon see those fears realized as both companies prepare to raise prices ahead of newly imposed punitive new tariffs.
Fast-fashion giant Shein and Temu, operated by PDD Holdings, have notified U.S. shoppers of impending price rises due to take effect from April 25. While neither company has disclosed the scale of the increases, the announcement comes before the official May 2 cancellation of the de minimis treatment for small parcels, a policy change formalized by President Trump on April 2. The exemption previously allowed packages valued at under $800 to enter the U.S. duty-free, forming a cornerstone of the ultra-low-price models adopted by many Chinese e-commerce operators that ship directly to American consumers.
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- Shein and Temu will raise U.S. prices from April 25, ahead of new tariffs up to 120% or $100–$200 per package on Chinese small parcels starting May 2.
- The end of the $800 de minimis exemption threatens China’s direct-to-consumer e-commerce model; both platforms are urging sellers to adapt.
- U.S. shoppers are stockpiling; Shein’s U.S. sales rose 28.6% in March, Temu’s by 46.3%, but early April saw declining platform traffic and ad spending.
- Shein
- Shein, a fast-fashion giant from China, will raise prices for U.S. shoppers starting April 25 due to new U.S. tariffs ending the de minimis exemption. Shein is assisting merchants in adjusting prices, expanding to markets outside the U.S., and shifting to semi-managed services where sellers handle logistics. U.S. sales surged this spring, but Shein has since reduced ad spending, and both shopper demand and app rankings have started to decline.
- PDD Holdings
- PDD Holdings is the operator of Temu, one of the major Chinese e-commerce platforms affected by upcoming U.S. tariff changes. The company is adapting to the new trade environment by introducing tools to help sellers shift to semi-managed storefronts amid rising costs and altered U.S. import policies.
- Temu
- Temu, operated by PDD Holdings, is a Chinese e-commerce platform impacted by new U.S. tariffs set to start May 2. Temu has notified U.S. shoppers about upcoming price increases and is encouraging merchants to switch to semi-managed storefronts. The platform saw U.S. sales surge 46.3% year-on-year in March, but has recently experienced reduced online promotion, declining app rankings, and a reported drop in sales and traffic since early April.
- Alibaba AliExpress
- According to the article, Alibaba’s AliExpress is one of several Chinese cross-border e-commerce platforms that have relied on shipping low-cost parcels directly to U.S. shoppers. These platforms, including AliExpress, are threatened by new U.S. tariffs that disrupt their business model, which was previously supported by the de minimis exemption for duty-free small parcels.
- TikTok Shop
- TikTok Shop is mentioned as one of the Chinese e-commerce platforms affected by the new U.S. tariffs. Like Shein, Temu, and AliExpress, it relies on direct shipping of low-cost parcels to U.S. shoppers. The escalating tariffs threaten this cross-border e-commerce model, potentially impacting TikTok Shop’s pricing and operations in the U.S. market.
- Amazon
- The article mentions that some merchants find platforms like Amazon more attractive than Temu, especially as new tariffs create inventory burdens and limit pricing control. Additionally, industry analysts believe Amazon and other rivals could benefit if Shein and Temu raise prices, as it would give competitors room to increase their own prices as well.
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