China’s online marketplace TEMU and first fashion retailer Shein will raise the prices of its products to increase the costs of companies known for offering low prices due to President Trump’s crackdown on low-priced imports and sweep tariffs.
In a letter to customers this week, reflecting each other, the companies said they would raise prices starting April 25th, encouraging shoppers to buy “at today’s rate.”
“Recent changes in global trade rules and tariffs have led to our operating expenses rising. We will be making price adjustments starting April 25, 2025 to continue to provide products we love without compromising quality,” their statement read.
Shein and Temu, who sell products ranging from toys to smartphones, are growing rapidly in the US thanks to the “minimum” exemption that allows prices to be kept low.
But their business model is under pressure from a recent executive order signed by President Trump, and a recent executive order that allows packages from China and Hong Kong that under $800 will be allowed to the United States without duties. The order will take effect on May 2nd.
Temu and Shein did not immediately respond to requests for additional comment.
