Global Tariff Shock: Shein, Temu, and Amazon Sellers Raise Prices

Facing mounting costs from Trump's new tariffs, Shein and Temu announced price increases on their U.S. sites, effective April 25. Both cited rising operational expenses but did not disclose exact adjustment rates, only pledging to minimize consumer impact.

In an unusual move, the two rivals issued nearly identical statements and declined further comment.

Price hikes are already visible: a Shein swimsuit rose from $4.39 to $8.39 overnight, a 91% jump. On Temu, two patio chairs increased from $61.72 to $70.17. Amazon sellers have also raised prices, with average increases reaching 29% according to SmartScout.

The cost surge stems from two policy shifts: Trump's proposed 145% tariff on Chinese imports, and the cancellation of the de minimis exemption starting May 2. Small parcels from China and Hong Kong will now face full tariffs, sharply increasing import costs and straining U.S. customs capacity.

Omnisend data shows 30% of consumers would cut purchases if prices rise. Even before the hikes, Shein and Temu’s active user numbers were already declining.

Both companies have also slashed their U.S. advertising budgets—Temu by 31%, Shein by 19%—reflecting cautious growth expectations.

 Whether they can navigate the coming market turbulence remains uncertain.