Temu, Owned by PDD Holdings, Halts Direct Shipments From China to U.S. Amid 145% Tariffs, Shifts to Local Fulfillment

Temu, owned by PDD Holdings, has ceased shipping products directly from China to the United States in response to new tariffs imposed by the Trump administration. The cessation of shipments follows the expiration of a tariff exemption known as 'de minimis', which previously allowed low-value imports to enter the U.S. duty-free.

The 'de minimis' exemption, which ended on May 2, had permitted goods valued at less than $800 to bypass tariffs. With its termination, U.S. consumers can expect higher prices and potential delivery delays as all imports from China and Hong Kong now face tariffs of up to 145%. China has retaliated with tariffs of 125% on U.S. goods.

In response to these changes, Temu has shifted to a local fulfillment model, with all sales in the U.S. now handled by locally based sellers. The platform assures that its pricing for U.S. consumers will remain unchanged, despite the transition. The U.S. Postal Service now charges a 120% tariff on low-value packages or a flat fee of $100 per shipment, set to rise to $200 on June 1. Meanwhile, Shein has stated that tariffs are included in the price customers pay, ensuring no additional fees at delivery.