Business
Temu and Shein Raise Prices before 120% U.S. Tariffs Begin in May 2025
April 25, 2025
April 30, 2025
By Evans Momodu, published 21:18
American customers relying on low-cost products from Temu and Shein are hit hard by new U.S. tariffs. As prices surge, shoppers say they have no affordable alternatives.
Millions of U.S. consumers who depend on budget-friendly products from Chinese e-commerce platforms like Temu and Shein are now grappling with sudden price increases. New tariffs introduced under President Donald Trump's trade policies are making once-affordable items far more expensive — leaving shoppers with few options.
Rena Scott, a 64-year-old retired nurse from Virginia, is one of many affected by these changes. With 10 to 12 active Temu orders at any time, she has relied on the platform for everything from yarn and crafting beads to furniture and clothing. “It’s just common sense,” she said, referring to buying directly from Chinese sellers rather than U.S. retail giants like Amazon or Walmart.
But that cost-saving strategy is now under threat. As of May 2, 2025, the U.S. is eliminating the “de minimis” rule, which previously allowed goods valued under $800 to enter the country duty-free. At the same time, the government has imposed 145% tariffs on imports from China and a minimum 10% import tax on products from other countries.
In anticipation of these changes, Temu and Shein raised prices on a wide range of items — from swimsuits to lawn chairs — as early as last Friday.
According to a congressional report, the value of Chinese e-commerce exports to the U.S. surged from $5.3 billion in 2018 to $66 billion in 2023, much of it consisting of low-cost packages. These low prices drew in consumers who might otherwise have gone withou making any purchases.
Scott, like many others, feels squeezed. “I can’t afford to buy from Temu now, and I already couldn’t afford to shop in this country,” she said.
This change marks a turning point for budget-conscious shoppers who had come to rely on direct-to-consumer platforms for essential household goods. As tariffs reshape the online shopping landscape, millions may be forced to rethink how — and where — they buy.
Source: CNN