• Latest
  • Trending
  • All

Temu to stop selling goods from China directly to US customers

May 2, 2025

Reports nurses told by police to show ID to masked men during trouble – O'Neill

June 15, 2026

World Cup 2026: Nestory Irankunda – the refugee who quit Bayern to make Australia history

June 15, 2026

Trump and thousands of others watch UFC fight on White House lawn

June 15, 2026

South African TV star arrested after allegedly kidnapping man in girlfriend dispute

June 15, 2026

Australia demands answers after girl taken hostage is shot dead by Pakistan police

June 15, 2026

Norwegian crown princess's son found guilty of two counts of rape

June 15, 2026

US musician Oliver Tree dies in helicopter collision in Brazil

June 15, 2026

US and Iran agree deal to end war as Trump says Strait of Hormuz to reopen

June 15, 2026

'Boyfriend duties call,' Trudeau says after skipping Canada match to watch Perry

June 15, 2026

Taboo subjects on the table at women's health event

June 15, 2026

When will social media ban start and what platforms are included?

June 15, 2026

Oil prices slide after Pakistan announces deal between US and Iran

June 15, 2026
News
  • Login
  • Home
  • News
  • Sports
  • Worklife
  • Travel
  • Reel
  • Future
  • More
Monday, June 15, 2026
No Result
View All Result

NEWS

3 °c
London
8 ° Wed
9 ° Thu
11 ° Fri
13 ° Sat
  • Home
  • Video
  • World
    • All
    • Africa
    • Asia
    • Australia
    • Europe
    • Latin America
    • Middle East
    • US & Canada

    World Cup 2026: Nestory Irankunda – the refugee who quit Bayern to make Australia history

    Trump and thousands of others watch UFC fight on White House lawn

    South African TV star arrested after allegedly kidnapping man in girlfriend dispute

    Australia demands answers after girl taken hostage is shot dead by Pakistan police

    Norwegian crown princess's son found guilty of two counts of rape

    US musician Oliver Tree dies in helicopter collision in Brazil

    US and Iran agree deal to end war as Trump says Strait of Hormuz to reopen

    'Boyfriend duties call,' Trudeau says after skipping Canada match to watch Perry

    Clinical Australia upset Turkey in World Cup opener

  • UK
    • All
    • England
    • N. Ireland
    • Politics
    • Scotland
    • Wales

    Reports nurses told by police to show ID to masked men during trouble – O'Neill

    Starmer set to ban under-16s from major social media platforms

    Hamilton says Barcelona win beyond wildest dreams

    Sinkholes near Purley bridge halt Gatwick trains

    Glasgow race attacks a 'mark against the reputation of the city'

    Jade Jones could face Sheena Bathory after dominant second boxing win

    Days of violence 'a stain on NI's international reputation'

    Molly Russell's dad says PM rushing social media restrictions 'deplorable'

    Eight arrests at anti-immigration and counter protest in Brighton

  • Business
    • All
    • Companies
    • Connected World
    • Economy
    • Entrepreneurship
    • Global Trade
    • Technology of Business

    Oil prices slide after Pakistan announces deal between US and Iran

    UK electric car sales target set to be weakened

    Why the US economy keeps defying the odds

    Teen plans to leave uni 'debt free' after making £35,000 selling vintage football shirts

    Beauty Pie LED mask ad banned over misleading anti-wrinkle claim

    Elon Musk becomes world's first trillionaire as SpaceX soars in stock market debut

    'I was employee number one at SpaceX'

    Reporter Reads

    Elon Musk’s SpaceX raises $75bn ahead of record stock market debut

  • Tech
  • Entertainment & Arts

    Meghan hits red carpet at Power of Women in Hollywood

    Margot Robbie unable to speak at Saltburn premiere

    Barbra Streisand: Siri can now pronounce my name

    Wes Anderson’s The Grand Budapest Hotel inspires cinema’s look

    Taylor Swift/ Travis Kelce romance reaches White House

    The Killers booed at Georgia concert after inviting Russian fan on stage

    Watch: Memorable moments from Parkinson's star-studded show

    Tom Jones: Neighbour surprised to find singer in flat below

    Black Country Folk Festival showcases local musicians

    Watch: Australians set new world record with Tina Turner dance

  • Science
  • Health
  • In Pictures
  • Reality Check
  • Have your say
  • More
    • Newsbeat
    • Long Reads

NEWS

No Result
View All Result
Home Business

Temu to stop selling goods from China directly to US customers

May 2, 2025
in Business
8 min read
246 7
0
493
SHARES
1.4k
VIEWS
Share on FacebookShare on Twitter


Peter Hoskins & Charlotte Edwards

Business reporters

Getty Images An orange Temu parcel is pictured on a wooden floor with other parcelsGetty Images

Temu has said it will stop selling goods imported from China in the US directly to customers from its platform.

The online marketplace said sales would now be handled by “locally based sellers”, with orders fulfilled from within the country.

The move comes as a duty-free rule for low-value packages is closed.

Temu, and rival Chinese retail giant Shein, had previously relied on the so-called “de minimis” exemption to sell and ship low-value items directly to the US without having to pay duties or import taxes.

Temu said it had been actively recruiting US firms to join the platform.

“All sales in the US are now handled by locally based sellers, with orders fulfilled from within the country.

“The move is designed to help local merchants reach more customers and grow their businesses,” it added.

Supporters of the de minimis loophole, which applied to parcels worth less than $800 (£600), argue it helped streamline the customs process.

But both Trump and his predecessor, Joe Biden, said it damaged American businesses and was used to smuggle illegal goods, including drugs.

What was the de minimis exemption?

De minimis is a Latin term, which loosely translates to English as “of the smallest”.

In this context it refers to a US trade rule enacted by Congress in 1938 to avoid the expense of collecting only small amounts of import levies.

In the 21st Century, after a series of rises to the threshold, it allowed retailers to ship packages worth less than $800 to US customers without having to pay duties or taxes.

Shipments under the exemption accounted for more than 90% of all the cargo entering the US, according to the country’s Customs and Border Patrol (CBP).

Reuters Young woman sitting down, holding a number of Shein-branded bags.Reuters

Chinese online retailers like Shein and Temu had benefited greatly from the loophole.

Both platforms attracted millions of US customers with marketing blitzes that showcased their ultra-low prices

And it was the de minimis exemption that helped them offer those deals so cheaply.

Shein did not immediately respond to BBC requests for comment.

Last month, in almost identical statements, Shein and Temu said they had seen operating expenses rise “due to recent changes in global trade rules and tariffs”, adding they would make “price adjustments” from 25 April.

Why has Trump closed the loophole?

In February, Trump briefly closed the loophole.

The suspension was quickly paused as customs inspectors, delivery firms and online retailers struggled to adapt to such a major change at short notice.

During the initial suspension of the exemption the US Postal Service temporarily stopped accepting parcels from mainland China and Hong Kong.

The executive order announcing the latest move said it was aimed at tackling the illegal importation of synthetic opioids like fentanyl.

It said many Chinese shippers use deceptive practices to hide illicit substances in low-value packages “to exploit the de minimis exemption”.

“These drugs kill tens of thousands of Americans each year, including 75,000 deaths per year attributed to fentanyl alone,” it added.

The idea is not new. Last year, the Biden administration proposed rules intended to stop “abuse” of the exemption.

“The growing volume of de minimis shipments makes it increasingly difficult to target and block illegal or unsafe shipments,” it said.

The move is in line with Trump’s policies of cracking down on goods from China.

Since returning to the White House in January, Trump has imposed taxes of up to 145% on Chinese imports. His administration said in April that when the new tariffs are added on to existing ones the levies on some Chinese goods could reach 245%.

US authorities have also blamed the success of firms like Temu and Shein for putting strains on border authorities, as the number of packages entering the US under the loophole surged from about 140 million a decade ago to more than one billion last year.

What does it mean for online shoppers?

Packages sent to the US from mainland China and Hong Kong with a value of up to $800 now face a 120% tax rate or are subject to a flat fee. The fee started at $100 and is due to rise to $200 at the beginning of June.

Even before these packages were subject to import taxes, US consumers were warned of potential price rises.

The American Action Forum, a right-leaning policy group, estimated last year that getting rid of the exemption would result in “$8bn to $30bn in additional annual costs that would eventually be passed on to consumers”.

Chinese online retailers have also benefited from similar rules in the UK and the European Union.

In a move mirroring the US action, the UK has announced a review of low-value imports coming into the country.

In the UK, the current rule allows international retailers to send packages to the UK worth less than £135 without incurring import taxes.

Chancellor Rachel Reeves said the cheap goods are “undercutting the British High Street and British retailers”.

The European Union has also proposed plans to scrap duty-free exemptions for parcels worth less than €150 (£127.50; $169.35).

Which means consumers in the UK and EU could soon also see prices rising.

Will US border checks change?

Packages that arrived in the US under the exemption were inspected in the same way as other goods, including being checked for illegal substances. And most synthetic opioids are brought into the country through the border with Mexico, according to officials.

Some experts think ending the exemption will do little to curb illegal drugs and not address the challenges faced by US manufacturers.

There are also concerns the move will create more work for US border officials, who are already stretched as they try to stop drug smuggling.

According to pro-open trading association the National Foreign Trade Council (NFTC), removing the de minimis exemption would “shift the CBP’s focus away from the border, where a vast majority of illegal substances and products are entering the country.”

“CBP would need to hire and train new personnel, costing the agency millions or causing them to move agents from the already overburdened southern border,” it added.



Source link

Tags: ChinacustomersgoodssellingstopTemu

Related Posts

Oil prices slide after Pakistan announces deal between US and Iran

June 15, 2026
0

Under the agreement, the key Strait of Hormuz waterway will be reopened, US President Donald Trump said. Source...

UK electric car sales target set to be weakened

June 14, 2026
0

The new target hasn't yet been decided, with different numbers under consideration, the BBC understands. Source link

Why the US economy keeps defying the odds

June 14, 2026
0

Why has the American economy continued to outperform so many of its peers, despite facing the same global shocks?...

  • Lee McGregor: Scot seeks world title in 2025 & Nathaniel Collins bout

    677 shares
    Share 271 Tweet 169
  • Belgian footballer arrested in cocaine investigation

    533 shares
    Share 213 Tweet 133
  • Next to raise prices to help pay for rising wage costs

    531 shares
    Share 212 Tweet 133
  • South Wales Police officers injured, one arrested

    525 shares
    Share 210 Tweet 131
  • Charities to get £15m fund to save surplus farm food

    516 shares
    Share 206 Tweet 129
  • Trending
  • Comments
  • Latest

Lee McGregor: Scot seeks world title in 2025 & Nathaniel Collins bout

January 16, 2025

Belgian footballer arrested in cocaine investigation

January 27, 2025

Next to raise prices to help pay for rising wage costs

January 7, 2025

World Cup 2022: TikTok brings football fever to millions of fans

0

UK economy will get worse before it gets better, warns chancellor

0

One of Central America’s most active volcanoes erupts again

0

Reports nurses told by police to show ID to masked men during trouble – O'Neill

June 15, 2026

World Cup 2026: Nestory Irankunda – the refugee who quit Bayern to make Australia history

June 15, 2026

Trump and thousands of others watch UFC fight on White House lawn

June 15, 2026

Categories

N. Ireland

Reports nurses told by police to show ID to masked men during trouble – O'Neill

June 15, 2026
0

International healthcare workers have told BBC News NI they faced intimidation and some feared for their safety. Source...

Read more

World Cup 2026: Nestory Irankunda – the refugee who quit Bayern to make Australia history

June 15, 2026
News

© 2023 GODJ - NEWS CORP - news.godj.com.

Explore NEWS.GODJ.COM

  • Home
  • News
  • Sports
  • Worklife
  • Travel
  • Reel
  • Future
  • More

Follow Us

  • Home Main
  • Video
  • World
  • Top News
  • Business
  • Sport
  • Tech
  • UK
  • In Pictures
  • Health
  • Reality Check
  • Science
  • Entertainment & Arts
  • Login

© 2023 GODJ - NEWS CORP - news.godj.com.

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.