Online shopping giants Temu and Shein are warning of potential price hikes due to new tariffs imposed by the US government on Chinese goods. The move comes as part of the ongoing US-China trade war, which has seen both sides impose tariffs on each other’s products.
Temu, a China-based e-commerce platform that has gained popularity among global shoppers, will be affected by the new tariffs. Its affordability model, which is linked to its “Shop like a billionaire” tagline, may face significant challenges as it prepares for the 90% tariff increase.
Shein, another Chinese online retailer with a focus on fashion, is also expected to raise prices due to the new tariffs. Although the company has moved its headquarters from China to Singapore, most of its products are still manufactured in China, making it vulnerable to the tariffs.
The new tariffs will take effect on June 1 and will see $150 imposed on each individual package. This move is part of a broader strategy by the US government to increase revenue and curb trade imbalances with China.
As a result, global retailers like Temu and Shein are scrambling to adjust their business plans in response to the new tariffs. The impact of these changes will be felt across the online shopping industry, with consumers potentially facing higher prices for their favorite products.
Source: https://arstechnica.com/tech-policy/2025/04/tariff-fueled-price-hikes-coming-to-shein-temu-next-week