Chinese fast-fashion giants Shein and Temu have warned U.S. customers of impending price hikes starting April 25, 2025, due to new tariffs imposed by the Trump administration on Chinese imports.
In near-identical statements, both companies cited “recent changes in global trade rules and tariffs” as the cause of rising operating costs.
The price increases follow President Donald Trump’s reimposition of sweeping tariffs, including a levy of up to 145% on Chinese goods and the cancellation of the de minimis exemption, which previously allowed duty-free imports for goods under $800. Effective May 2, 2025, this change was critical to Shein and Temu’s rapid U.S. growth. Revised plans, announced after China’s retaliatory tariffs, set a 90% tariff or $75 per item, rising to $150 by June 1 for previously exempt packages.
Temu and Shein announce plans to raise their prices for U.S. customers, taking effect from April 25th as a result of Trump’s tariffs. pic.twitter.com/rJRRN3FHuS
— Pop Base (@PopBase) April 17, 2025Despite the cost increases, experts suggest Shein and Temu’s low-price model may keep them competitive. However, signs of strain are evident. According to Sensor Tower, Temu reduced U.S. social media ad spending by 31% and Shein by 19% over the past two weeks. Temu also paused its Google Shopping ads on April 9, 2025, per Smarter Ecommerce.
The tariffs align with the Trump administration’s crackdown on Chinese e-commerce. Chinese companies are accused of exploiting loopholes to flood the U.S. with low-cost goods. Bipartisan support in Congress to end duty-free privileges has intensified pressure on firms like Shein and Temu.
Shein and Temu say you've got 8 days of low-cost shopping left before the Trump tariff price hikes kick in https://t.co/hATj025ogq
— Business Insider (@BusinessInsider) April 17, 2025Both companies urged customers to shop before the price hikes, stating, “We’re doing everything we can to keep prices low and minimise the impact.” Meanwhile, their U.S. app store rankings have slipped, with Temu dropping to #75 and Shein to #58 in the App Store, while competitors like DHgate and Taobao remain popular.
