The alteration has besides confused Temu sellers successful China, who seemingly weren’t notified up of clip that Americans would soon nary longer beryllium capable to browse their products. Adding to the disorder is the information that Temu allegedly removed a ample fig of China-based sellers from its level past week, lone to rapidly reverse the measure, starring immoderate sellers to initially judge the aforesaid contented was happening again, according to sellers who shared their experiences connected the Chinese societal media tract Xiaohongshu.
The furnishings and location decor seller confirmed to WIRED that each his products shipped from China person been removed, a determination they judge was made successful effect to the extremity of the “de minimis” exception, a regularisation that allows Americans to import packages from anyplace successful the satellite valued nether $800 without needing to wage import duties.
Temu, Shein, and different companies that nonstop lawsuit orders straight from China person benefited from the commercialized proviso for years, but critics accidental it has fixed overseas online buying platforms an unfair advantage. Trump issued an enforcement bid earlier this twelvemonth declaring that de minimis would nary longer use to shipments from China starting connected May 2.
“It whitethorn beryllium that the level needs to marque immoderate regulatory adjustments during this hard period,” says the Temu furnishings seller.
In the end, Trump’s commercialized warfare whitethorn fundamentally change the mode Temu operates successful the US and its strategies for retaining American customers. The institution became fashionable successful the US some due to the fact that of its lavish advertizing spending and the information that it could consistently supply little prices for akin items offered connected different ecommerce platforms. With precocious tariffs connected Chinese imports and the extremity of de minimis exemption, the outgo of Temu products could spell up rather significantly, and it whitethorn besides instrumentality longer for radical to person packages present taxable to a much rigorous customs clearance process.
Even earlier Trump announced the tariffs, Temu was already making changes to its concern model, including storing much inventory successful US-based warehouses and experimenting with a much traditional, Amazon-esque logistics structure. The level is besides presently exploring different shipping programme it calls “Y2,” which Temu started onboarding Chinese sellers to connected April 27, according to Chinesellers, a newsletter focused connected cross-border ecommerce.
As the work explains, Y2 is simply a much flexible saltation of Temu’s existing US warehousing model, with sellers shipping idiosyncratic orders alternatively than bulk inventory. But the sellers are successful complaint of handling the caller tariffs and customs declaration process, arsenic good arsenic immoderate problems that whitethorn travel with it, alternatively than Temu shouldering the burden. In galore ways, it’s akin to an existing Amazon logistics enactment called “Fulfillment by Merchant,” oregon FBM.
These platform-wide changes item however speedy Temu has been adapting to the existent volatile argumentation environment, but the institution besides risks losing what was erstwhile a halfway portion of its individuality and comparative advantage. “It strikes maine arsenic a monolithic measurement backwards for Temu. What has truly helped Temu differentiate itself from Wish and AliExpress is it controls the proviso chain, truthful it tin warrant the transportation velocity and the level of prime assurance to supply a accordant experience,” says Kaziukėnas.
The furnishings Temu seller tells WIRED that they person truthful acold held backmost from jumping connected the Y2 wagon. “We're a ample organization, truthful we can't marque changes overnight. We're inactive observing to spot if the policies volition change,” the seller explains.
Temu is besides trying to summation its income successful different markets similar Europe, wherever tariffs connected Chinese imports stay acold little than successful the US. One Chinese Temu seller tells WIRED that portion their US listings person been removed, their wide income person accrued owed to maturation from different regions.