TEMU, an online shopping giant known for its cheap prices, has spoken out on fears that major import charges are set to hit customers.
With sky-high tariffs slapped on Chinese imports – the main source of Temu’s products – shoppers have seen prices more than double.
3
3
On Friday, Temu told The Sun US that the platform is transitioning to “a local fulfilment model”.
A spokesperson said: “All sales in the U.S. are now handled by locally based sellers, with orders fulfilled from within the country.”
That means it is no longer selling items in the US which are imported from China – and these have all been marked out of stock.
To replace that supply, Temu said it has been “actively recruiting US sellers to join the platform”.
The e-commerce giant said the move is “designed to help local merchants reach more customers and grow their businesses”.
The spokesperson also claimed that “Temu’s pricing for US consumers remains unchanged” – despite customers reporting a spike in costs.
For example, a $34 men’s corduroy cargo jacket came out to roughly $83 once a $46.50 import charge and a $2.50 sales tax fee were added, USA Today reported on Monday.
A $119 double bed folding mattress also saw a massive price jump, costing around $273 after a $146 import charge and $8 sales tax were tacked on.
E-commerce competitor Shein, also based in China, announced that it would similarly be forced to raise prices beginning on April 25 due to the 145 percent tariff.
The price hikes coincided with the closure of a loophole that allowed Temu to import its products duty free.
Known as the “de minimis exemption”, the rule allowed products priced below $800 to enter the US without incurring import charges.
However, on Friday, the US scrapped the exemption for China and Hong Kong.
Trump’s executive order described ending the exemption as a means to halt “deceptive shipping practices by Chinese-based shippers, many of whom hide illicit substances, including synthetic opioids, in low-value packages.”
Roughly 92 percent of all packages entering the country falls under the de minimis exemption, per the Customs and Border Patrol.
Cargo worth $800 or less will face new tariffs and fees once the loophole ends, with some increases planned for June, according to the White House.
Beyond raising prices, Temu has made other big changes.
One such was an attempt by the company to become “more like Amazon” – meaning customers will see more products.
And Temu made another major online change that could significantly impact loyal shoppers in the US.
3
