Business Desk 
May 04, 2025
Owing to the hefty tariffs that have gripped the global trade, Temu has stopped selling China-imported goods directly to US customers.
Instead, the Chinese online marketplace announced that all US sales will now be handled by local sellers, and orders will be fulfilled from within the country.
The move comes on the heels of the US government’s recent decision to discard “de minimis”, a rule that previously allowed items worth $800 or less to enter the country without duty, BBC reported.
Temu, known for its budget-friendly items, and its fast-fashion rival Shein used this rule to cater to American consumers' demand for low-value goods directly from China, all without paying import duties or taxes.
The relatively newer retail giant believes that shifting operations will help US-based merchants grow their businesses and reach wider audiences.
It also came to light that the company has locally been recruiting sellers to support this transition.
The de minimis rule was first introduced in 1938 to simplify customs by waiving small levies. However, recent criticism from official higher-ups in the US, including US President Donald Trump and former US president Joe Biden, has shed light on the loss of revenue and the loophole being used to smuggle illegal goods such as drugs.
Over 90% of all packages coming into the US qualified for this exemption, which is said to be a key factor behind the establishment of Chinese e-commerce giants like Temu and Shein.
