Popular online shopping platforms like Temu and Shein are under pressure as new US trade rules are making it more expensive to import goods from China. With big changes in tariffs and customs rules, both companies are warning customers that prices will go up sharply. Shoppers are already noticing the impact, with some items now costing more than double.
What’s Happening With the Tariffs?
Under the trade policy led by Donald Trump, the US started charging extra fees, known as tariffs, on goods imported from other countries. A basic 10% tariff was applied to many countries, but China was hit much harder with a massive 145% tariff.
Although 75 countries were given a 90-day break from these higher tariffs for trade talks, China was not included. So, goods from China continue to face extremely high fees when entering the US.
The End of the $800 Tax-Free Rule
Earlier, people could order packages worth less than $800 from places like China or Hong Kong without paying taxes. This was called the “de minimis exemption.” But from May 2, this rule is ending for packages from China and Hong Kong.
Now, every package worth under $800 will face a new 120% tariff or a $100 fee, whichever is higher. And starting June, this fee will increase to $200.
This change is expected to hit e-commerce sellers like Temu and Shein the hardest. These platforms sell low-cost products that are usually shipped directly from China. With the new rules, these “cheap deals” won’t be so cheap anymore.
Customers Already Feeling the Heat
Both Temu and Shein have already raised their prices. On Temu, customers were warned on April 25 that prices would rise to cover the new import charges. Many shoppers took to social media to complain about the sudden cost increase.
One user said: “Temu used to be my go-to for cheap finds, but now the prices are so high. It’s not worth it anymore.”
Others replied saying the high prices are because of the new tariffs. The situation has left many looking for alternative online shopping options.
Real-Life Price Jumps
Recent examples show just how much the costs have gone up. A jacket that used to cost $34 on Temu now costs about $83 after adding a $46 import fee and sales tax. A folding mattress that was $119 now costs around $273, with $146 just in import charges.
Shein, Temu’s top competitor, has also changed its checkout system. Customers are now told upfront that import fees are included in the prices shown on the site, so they won’t be surprised at delivery time.
Temu Tries to Keep Shoppers Happy
Temu responded to the changes by saying: “We’re doing everything we can to keep prices low. We want to continue offering good products at affordable rates.”
The company also mentioned that the extra charges seen at checkout cover customs fees and taxes, but the exact amount paid to the authorities may be different.
To adjust to the new market, Temu is also changing its business model to be “more like Amazon,” offering a wider variety of products and improving services.
Will Tariffs Come Down?
There is some hope for the future. At the end of the month, Trump announced that the 145% tariff on Chinese goods might be reduced in the future. If that happens, prices may come down again.
But for now, shoppers should expect higher costs when buying from China-based platforms like Temu and Shein.
The end of the tax-free shopping rule and higher tariffs are making online shopping more expensive for US customers. Both Temu and Shein are trying to adapt, but many people are already seeing big price hikes. Unless the US reduces tariffs soon, it looks like online deals from China will no longer be as budget-friendly as before. If you shop often from these platforms, now is the time to look for alternatives or adjust your shopping habits.
