Temu reportedly ends U.S. direct shipments from China
The end of a customs loophole for lower-priced imported goods is reportedly changing Temu’s U.S. shipping model.
Temu, which had recently only been displaying products shipped domestically for purchase to U.S.-based customers, is now restricting sales in the U.S. to sellers that are based in and ship from the country.
According to CNBC, products from China-based sellers and warehouses are now listed as out of stock. A Temu spokesperson confirmed to CNBC that U.S. sales are being exclusively performed by sellers within the U.S. that ship from within the country.
“Temu has been actively recruiting U.S. sellers to join the platform,” the spokesperson told CNBC. “The move is designed to help local merchants reach more customers and grow their businesses.”
This move came as an executive order from President Trump excluding shipments from China from the de minimis exception, which exempts imported shipments with an aggregate value of less than $800 from having to pay tariffs, took effect Friday, May 2.
[READ MORE: Trump eliminates tariff exemption used by low-cost shopping apps]
The de minimis exception also allows qualifying shipments to enter the U.S. while revealing less information about the contents than other imported shipments.
Temu is owned by Chinese e-commerce company PDD Holdings with U.S. headquarters in Boston and focuses on selling low-cost items, many of which until now have been directly shipped to U.S. customers from Chinese facilities.
On Wednesday, April 9, Trump paused the reciprocal tariffs he placed on imports from most countries for 90 days, except goods from China, which have tariffs as high as 145% with exceptions for some specific products.
Earlier this week, Temu was said to be adding "import charges" of about 145% on some items listed on its U.S. e-commerce site in response to the Trump Administration’s tariffs. Some of the fees ranged between 130% and 150%, more than doubling the cost of those items, according to another report from CNBC.
However, in an emailed statement to Chain Store Age, Temu said that its pricing for U.S. consumers will remain unchanged as it transitions U.S. sales to a local fulfillment model.
"Temu has been actively recruiting U.S. sellers to join the platform," the company said in the statement. "The move is designed to help local merchants reach more customers and grow their businesses. This shift is part of Temu’s ongoing adjustments to improve service levels."
