China-founded online marketplace Temu and fast-fashion giant SHEIN say they plan to raise prices starting next week as they grapple with President Trump’s move to close a trade loophole on low-cost Chinese goods.
In nearly identical letters sent to customers this week, Temu—owned by Chinese e-commerce company PDD Holdings—and SHEIN, which is currently based in Singapore, said they’ll be increasing prices starting April 25 and encouraged shoppers to buy now “at today’s rates.”
“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,” both statements read.
Since breaking into the U.S. market, SHEIN and Temu have given Western retailers a run for their money by offering products at rock-bottom prices, coupled with aggressive but effective digital and influencer marketing campaigns.
However, their business model has come under pressure after President Trump recently signed a n executive order that shuts down the trade loophole which allowed goods worth less than $800 to come into the U.S. duty-free.
The order goes into effect on May 2.
