Temu, the fast-rising Chinese online retailer known for bargain prices, is switching gears after a major shakeup in U.S. trade policy.
Following a new executive order from Donald Trump, the “de minimis” rule — which allowed goods valued under $800 to enter the U.S. tariff-free — has officially been eliminated. On top of that, tariffs on Chinese imports have surged, with some jumping more than 100%. This decision is already reshaping how international and domestic retailers operate.
Companies like Shein and Amazon are already adjusting, but Temu felt the squeeze directly. U.S. shoppers recently reported seeing hefty “import charges” between 130% and 150% tacked onto their purchases. Those steep fees made it clear: something had to change.
Rather than pass skyrocketing costs onto customers, Temu has stopped shipping goods directly from China to American buyers. Now, only items already stocked in U.S. warehouses are available for purchase, while listings for products from China appear as “out of stock.”
In a statement, a Temu spokesperson confirmed the shift. “Temu’s pricing for U.S. consumers remains unchanged as the platform transitions to a local fulfillment model,” the rep explained. “All sales in the U.S. are now handled by locally based sellers, with orders fulfilled from within the country.”
But this pivot isn’t just about tariffs. Temu is also using this moment to grow its U.S. presence. The company revealed it’s actively recruiting American sellers to join the platform, giving local merchants a new way to reach nationwide audiences.
“Helping local merchants reach more customers and grow their businesses is our focus,” the spokesperson added.
For shoppers, this means prices likely won’t spike—at least for now. But for the global retail landscape, Temu’s fast adjustment signals just how serious the new U.S. tariff era will be for companies relying on Chinese imports.
Discover more from Baller Alert
Subscribe to get the latest posts sent to your email.