Shein and Temu raised prices on Friday ahead of sweeping new tariffs targeting Chinese imports, as American consumers brace for cost increases on popular low-cost goods. The price hikes come days before the May 2 expiration of the "de minimis" exemption, a rule that has allowed items under $800 to enter the U.S. without tariffs.
Both Chinese retailers cited rising operating expenses tied to "recent changes in global trade rules and tariffs" in notices posted on their websites. Temu warned customers that price adjustments would begin on April 25, 2025, while Shein urged shoppers to make purchases before higher prices took effect.
Two patio chairs listed on Temu were priced at $61.72 on Thursday, but rose to $70.17 by Friday, according to CNN. A bathing suit set on Shein nearly doubled in price, jumping from $4.39 to $8.39, a 91% increase. However, pricing adjustments were not uniform across products, with some items, such as a smart ring on Temu, declining by $3.
Neither Shein nor Temu immediately responded to requests for comment.
The new tariffs, signed into law by President Donald Trump earlier this month, impose a 120% duty or a $100 flat fee per postal item starting May 2, with the flat fee rising to $200 by June 1. Trump's executive order also subjects low-value imports to increased inspections, requiring U.S. Customs officials to randomly search an additional one million packages daily.
While aimed at tightening customs enforcement and addressing safety concerns over imported goods, the policy is expected to disproportionately burden lower-income Americans. According to a report by the Trade Partnership Worldwide, the lowest-income U.S. households spent more than triple their share of income on apparel compared to the wealthiest households in 2021.
Research from UCLA and Yale found that 48% of packages delivered under the de minimis exemption were shipped to the nation's poorest zip codes, while only 22% went to the wealthiest.
The end of the exemption could erode one of the primary appeals of Shein and Temu-ultra-low prices-and dampen their rapid expansion among American consumers. It remains unclear whether shoppers who placed orders before April 25 but receive shipments after May 2 will avoid the new tariffs.
