## Temu Reroutes U.S. Strategy, Halts Direct Shipments from China Amid Tariff Hikes
In a significant shift, Chinese e-commerce giant Temu has stopped shipping products directly from China to the United States. This move comes in response to escalating U.S. tariffs implemented by President Donald Trump, which have dramatically altered the landscape for both Chinese and American retailers.
The core of the issue lies in the end of the “de minimis” rule, previously allowing goods valued at $800 or less to enter the U.S. without incurring tariffs. Coupled with tariff increases exceeding 100% on Chinese goods, this policy change has forced companies like Temu and Shein, as well as U.S. giants like Amazon, to re-evaluate their business strategies and potentially raise prices.
CNBC reported that U.S. shoppers were already experiencing the impact of these changes, with “import charges” ranging from 130% to 150% tacked onto their Temu purchases. To mitigate these costs and maintain competitiveness, Temu has opted to halt direct shipments from China. Instead, the platform now primarily showcases products readily available in U.S. warehouses, effectively marking items shipped directly from China as “out of stock.”
This strategic pivot also includes a renewed focus on attracting U.S.-based sellers. A Temu spokesperson stated, “Temu has been actively recruiting U.S. sellers to join the platform. The move is designed to help local merchants reach more customers and grow their businesses.”
The shift suggests Temu is aiming to navigate the complexities of the U.S. tariff environment by prioritizing locally sourced inventory and bolstering its presence within the domestic market. The success of this new approach remains to be seen, but it signals a clear adaptation to the evolving trade policies between the U.S. and China.