Just days before the U.S. ended its tariff exemption for low-value packages from the Chinese mainland on May 2, major e-commerce platform Temu quietly removed a significant number of products from its U.S.-facing site. The move primarily impacted small-scale vendors who relied on direct shipping and lacked resources for bulk logistics.
The exemption previously allowed items valued under $800 to enter the U.S. duty-free, enabling competitive pricing for Chinese sellers. With its termination, steep duties and complex paperwork now apply, forcing Temu to streamline its offerings. Industry analysts warn the reduction in product variety could lead to price hikes once existing U.S. inventories deplete, altering accessibility for American consumers.
While Temu has not issued an official statement, sources familiar with the platform’s operations indicate the decision aims to comply with new trade regulations while balancing cost efficiency. The shift highlights growing tensions in cross-border e-commerce as global trade policies evolve.
