Starting April 25, China’s Shein and Temu are losing their Biggest Advantage in the US online shopping market

Popular Chinese e-commerce platforms Shein and Temu are set to lose their competitive edge in the US online shopping market as they prepare to raise prices starting April 25. The move comes in response to new trade policies introduced by former President Donald Trump, including a 145% tariff on Chinese goods and the elimination of a duty-free exemption for low-value imports.
The de minimis provision, which allowed goods valued under $800 to enter the US duty-free, will be eliminated on May 2. This exemption had been a cornerstone of Shein and Temu’s business models, enabling them to offer ultra-low prices on clothing, accessories, and household items. The new tariffs will increase operating costs for the platforms, likely pushing them to revise their pricing strategies.


Both Shein and Temu have issued statements acknowledging the price adjustments, citing “recent changes in global trade rules and tariffs” as the primary reason. Shein and Temu have also encouraged customers to shop before the price hikes take effect, assuring smooth delivery during the transition period.
The tariff changes are expected to impact 4 million low-value parcels arriving in the US daily, many of which originate from China. US retailers, including Amazon, have already begun adapting to the new landscape by introducing low-cost storefronts featuring American brands like Adidas, Levi’s, and Gap.