Temu halts shipments to the US from China in tariff strategy shift
President Donald Trump’s recent executive order has eliminated the de minimis rule, which previously allowed goods valued at $800 or less to enter the United States without incurring tariffs. This policy change, coupled with a significant increase in tariffs on Chinese goods exceeding 100%, is forcing both Chinese and American companies, including Shein and Amazon, to revise their operational strategies and potentially raise consumer prices.
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Reports from CNBC indicate that Temu, the online marketplace, has been directly affected by these changes. Initially, U.S. shoppers encountered “import charges” ranging from 130% to 150% added to their purchase totals. However, Temu has now altered its shipping practices, ceasing direct shipments from China to the United States. Instead, the platform now exclusively displays listings for products that are readily available within U.S. warehouses, while items shipped from China are marked as out of stock.
“Temu has been actively recruiting U.S. sellers to join the platform,” a Temu spokesperson stated. “The move is designed to help local merchants reach more customers and grow their businesses.”
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This strategic shift by Temu suggests a move to adapt and mitigate the effects of the new tariffs by relying on domestic warehousing and sellers. The elimination of the de minimis rule and the increased tariffs are set to have a broad impact on the landscape of e-commerce, particularly for companies that rely on direct shipments from China. Consumers may see price increases and changes to product availability as companies adjust to the new regulations.
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