Temu, a Chinese e-commerce platform known for low-cost goods, has ended direct shipments to the U.S. after the closure of the “de minimis” trade loophole, which had allowed tax-free imports under $800.
In response, Temu is shifting to a U.S.-based fulfillment model, relying on domestic sellers to manage orders. While Temu claims prices will remain stable, experts warn import duties and taxes could push costs up by over 100%.
Read more: US Halts Parcel Deliveries from China, Dealing Major Setback to Shein and Temu
This move comes amid broader U.S. efforts to curb low-cost imports, support domestic retailers, and tighten control over potentially illicit shipments.
The policy change is expected to impact other global e-commerce platforms, forcing business model shifts and possibly causing higher prices and reduced product availability by late 2025.
Temu’s shift highlights growing trade barriers and signals significant shifts in international e-commerce dynamics.
