Temu, the Chinese e-commerce platform, has begun imposing “import charges” reaching approximately 145% as a direct response to tariffs implemented by former President Donald Trump.
The newly introduced fees, which took effect over the weekend following price increases initiated on Friday, can surpass the cost of the actual products, effectively more than doubling the overall price for consumers on typical orders.
A recent analysis from Finance Newso highlighted examples where costs have surged dramatically. A summer dress listed at $18.47 will now cost consumers $44.68 following the addition of $26.21 in import fees, amounting to a staggering 142% increase. Similarly, a child’s bathing suit priced at $12.44 will now carry a total cost of $31.12 after accounting for an $18.68 import charge, translating to a notable 150% markup. Even household items like a handheld vacuum cleaner that originally sold for $16.93 have seen prices soar to $40.11 with the inclusion of a $21.68 import fee, representing a 137% increase.
On its website, Temu provides clarification on the charges, stating, “Items imported into the U.S. may be subject to import charges. These charges cover all customs-related processes and costs, including import fees paid to customs authorities on your behalf.” The company adds that the quoted amounts may not reflect the actual fees levied by customs.
Representatives from Temu were unavailable for immediate comment on the situation.
In contrast, competitor Shein has also raised prices, but it has opted not to implement additional import charges. Instead, the retailer has included a message at checkout indicating, “Tariffs are included in the price you pay. You’ll never have to pay extra at delivery.”
These developments follow warnings from both Temu and Shein earlier this month regarding impending price increases after Trump announced a 145% tariff on numerous imports from China and signaled his intention to eliminate the de minimis exemption come May 2. This exemption has been criticized for facilitating the rapid growth of Temu and Shein in the U.S. by allowing most packages valued under $800 to enter the country without duties.
Temu addressed these changes in a statement on its site, explaining, “Due to recent changes in global trade rules and tariffs, our operating expenses have gone up. To keep offering the products you love without compromising on quality, we will be making price adjustments starting April 25, 2025.”
The imposition of import fees significantly undermines the value proposition that initially attracted consumers to Temu. Since its debut in 2022, the platform, owned by Chinese e-commerce giant PDD Holdings, gained substantial traction in the U.S. market, buoyed by aggressive advertising campaigns that encouraged consumers to “Shop like a billionaire.” Despite longer shipping times, many shoppers were drawn to the platform for its low prices on clothing, electronics, and home goods.
Temu had previously provided an accessible option for budget-conscious consumers seeking affordable items, allowing them to indulge in non-essential purchases like apparel or home decor. However, with the new pricing adjustments, the costs of many products will now align more closely with those offered by U.S. retailers such as Amazon, Walmart, and Target, while still potentially taking over a week to arrive.
Following the announcement of the tariffs, Temu has significantly reduced its advertising budget in the U.S. This shift has been reflected in the app’s performance, with its ranking in the Apple App Store plummeting to No. 73, down from consistently holding a place in the top 10, as reported by Sensor Tower data. Meanwhile, competitor Shein has also seen a drop to 54, down from 15 just a month prior.
‘It was nice while it lasted’
In the wake of the price hikes, Temu customers have taken to a Reddit forum to express their frustrations regarding the import fees. One user shared a post titled “R.I.P. Temu, it was nice while it lasted,” lamenting the rapid escalation in prices observed since Friday.
Another customer remarked, “From shopping like a billionaire to shopping like a peasant in one day,” reflecting widespread disappointment with the sudden fee increases.
Reports have surfaced indicating modest price jumps on individual items prior to the import fees’ introduction, with the new charges seemingly limited to products not stored in U.S. warehouses. Over the past year, Temu has been investing in U.S.-based distribution centers aiming to mitigate the impact of trade tensions, encouraging sellers to maintain inventory on domestic soil.
Recently, Temu has leaned into promoting items that are shipped locally to U.S. consumers, rather than those coming directly from China. This trend appears to be intensifying as the company adapts to the new pricing structure and import charges.
A look at Temu’s “lightning deals” page revealed that more than 75% of the products showcased came with a “local” designation. When consumers click on these items, they are greeted with a prominent green banner stating “no import charges.”
