The end of cheap Shein and Temu hauls? How Trump’s tariffs could make those shipments more expensive
CNN
Americans love Shein, Temu and Alibaba for two reasons: cheap prices and fast shipping.
Americans love Shein, Temu and AliExpress for two reasons: cheap prices and fast shipping. Trump’s tariffs could change that. Trump’s tariff orders reversed a long-standing shipping loophole: the de minimis exemption. The rule allowed international exporters to ship packages worth less than $800 inspection- and duty-free into the United States. Chinese e-commerce sites have built their gargantuan business models around this exemption. The relaxed restrictions and tax exemptions on cheap products has allowed more than a billion packages to pour in at a low-cost price for consumers looking for a deal on clothing to household goods. But the Trump administration is getting rid of the provision that made these goods so cheap and easy to access. “If you inspect every package, it’s going to raise costs dramatically for consumers,” Clark Packard, a research fellow at Cato Trade, said. “It’s going to slow down the reception of goods that were bought.”
President Donald Trump says he will impose his tariffs over the weekend, gambling that taxing American companies for imported goods will ultimately punish the countries that make stuff Americans want — and bring those nations to the negotiating table. But it’s a risky bet that could easily backfire on American consumers and the economy.