US Tariff Hits Fast Fashion, Impacting Online Retailers like Temu and Shein

The US tariff on Chinese-made goods sold to the US has sent shockwaves through the fast fashion industry, with online retailers like Temu and Shein expected to raise prices. The 10% tariff, which went into effect early Tuesday morning, closes a trade loophole that allowed these companies to ship packages under $800 duty-free.

Temu, which surpassed Amazon as the most-downloaded shopping app in 2023, sells everything from makeup and home goods to purse detailing hardware for pennies. But with prices expected to rise, shoppers are bracing themselves for retail therapy to become more expensive.

While some experts warn that tariffs could kill fast fashion, others argue that consumers will simply trade down to affordable options. “If a $1 pack of T-shirts at Temu becomes $2 a pack, that’s still cheaper than spending $20 for a couple of T-shirts that are better made,” said Margaret Bishop, a textile and apparel specialist.

However, the fast-fashion industry is also synonymous with wasteful over-consumption, high carbon emissions, and pollution. Professor Sheng Lu fears that tariffs will exacerbate these issues, as companies may have more incentive to cut corners in order to stay competitive. Meanwhile, shopper Vivi Armacost acknowledges that online retailers like Temu represent the worst of Americans’ desire for excess, but also notes that spending stimulates the economy.

As prices rise, shoppers are left wondering if they’ll be able to get their fix of affordable fashion without sacrificing quality or sustainability.

Source: https://www.theguardian.com/technology/2025/feb/04/temu-shein-trump-tariffs-china