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TEMU has stopped sending low -cost items from China to sell American consumers directly, while the Chinese electronic commerce company reveals its business model in response to the Trump administration prices.
Sales on the US TEMU market – which sells household goods ranging from telephone chargers to silicone toilet brushes – will now be made by American sellers, rather than Chinese sellers, he said on Friday.
The company, which has been building a network of sellers in the United States for over a year, has added that it actively recruited more merchants in the country. However, the decision to move away from Chinese sellers means that its American activities could decrease considerably accordingly.
The changes have been made as the United States remains its “minimis” customs rules, which exempt incoming parcels worth less than $ 800 from import rights.
From Friday, low -value shipments from China and Hong Kong will be submitted at a rate of 120% or at stable costs of $ 100, depending on how the goods are delivered. The costs of $ 100 will be doubled compared to June 1.
Sudden changes pose major challenges in Temu and its rival Shein, which sells mainly cheap clothes. The two retailers have exploited the exemption of “minimis” to undermine American retailers with cheap Chinese goods sent directly to consumers.
The Financial Times reported this week Shein Explore The opinion to move the production of its American activities outside China and that its long -awaited London stock float should be delayed more by pricing changes. The American company of the fast retailer represents about a third of its revenues of $ 38 billion.
Analysts estimate that the United States is the largest TEMU market, which belongs to Chinese society PDD holdings.
“TEMU prices for American consumers remain unchanged as the platform passes to a local realization model,” said the company. “This decision is designed to help local merchants reach more customers and develop their businesses. This change is one of the adjustments during TEMU to improve service levels. ”
TEMU will continue to get Chinese sellers for its operations in other Western countries.
Temu and Shein are two eminent victims of the American-Chinese trade war. Washington imposed prices up to 145% on most Chinese products, and China retaliated with 125% tariffs.
TEMU and Shein, who both fueled their rapid growth with general advertising on social networks, replied by Cut advertising expenses In recent weeks.
On Friday, Chinese officials said Beijing “assesses” the recent United States’s recent openings to start commercial talks. Beijing had previously suggested that Washington should drop the steep samples if he wanted him to commit.
