vIvi Armacost loves Temu. She uses the Chinese online market to buy craft supplies for hobbies like making wallets. “You can get the details and hardware of St. and Penny’s wallet,” said Armacost, who is 24 years old and lives in New York. She mentions that her apartment is mostly furnished from Temu.
Donald Trump’s 10% tariff on Chinese-made products sold in the United States was implemented early on Tuesday morning and could potentially alter shopping habits. Additionally, US postal services halted parcels coming from China and Hong Kong without explanation.
This tariff closes a trade loophole that allowed fast fashion companies like TEMU and Shein to ship packages valued at less than $800 to the US tax-free. This exemption, known as “De Minimus,” has faced criticism from both parties in recent years. According to a report by Reuters, Shein and Temu may raise prices due to the tariff, along with Amazon’s Haul, a new e-commerce app importing products from Chinese sellers.
Many shoppers are worried that the fees will impact their retail therapy.
“Trump is trying to get one last order from Temu before imposing another tariff on China.” Armacost jokingly commented on Tiktok, where she shared a comedy video capturing the situation. She mentioned having a friend who made a final Temu purchase at the last minute during the tariffs.
Vivi Armacost has a friend who made the final Temu Run. Photo: tiktok user @viviarmacost
Although TEMU was the most downloaded shopping app in 2023, SHEIN overshadowed it and became a favorite brand. Shein is primarily known for clothing, while Temu offers a variety of products including makeup, home supplies, and decorations. Despite their affordability -TEMU’s women’s sneakers are just over $4 and Temu’s bracelets are $1.45, many products are of questionable quality and end up in landfills.
“Many items are much smaller than expected,” Armacost notes. “I bought a desk lamp that could fit in my hand.”
Leading up to Trump’s tariff announcement, shoppers had been urging others to stock up on Temu and Shein products to prepare for potential taxes on goods from China. A Tiktok user commented, “It might be the last good Black Friday for a while due to tariffs,” suggesting it’s better to collect items now before prices potentially increase.
Shortly after the election, fashion writer Amy Odell advised readers in a warning message to shop now considering the potential impact of tariffs. Susan Scafidi, a lawyer and founder of Fordham’s Fashion Law Institute, expressed concerns about the implications of tariffs on fast fashion and consumer behavior.
Sheng Lu, a professor specializing in fashion and apparel research at the University of Delaware, believes that while tariffs may affect supply chains and consumer spending, large companies like SHEIN and TEMU are better equipped to handle the costs compared to small and medium-sized enterprises.
In 2023, the US Congress reported that Temu posed a “very high risk” with its supply chain potentially involving forced labor, while both SHEIN and TEMU avoided scrutiny of US human rights practices. Recent reports have uncovered labor issues within the companies, raising concerns about ethical practices.
The fast fashion industry is often associated with high carbon emissions and pollution, and experts fear that tariffs could exacerbate these environmental and labor issues.
Despite the potential drawbacks, Armacost acknowledges the consumer demand for these online retailers like Temu. “While excessive spending is concerning, it does stimulate the economy,” she remarks. “Why live in a country where you can’t order 100 items for $15?”
Source: www.theguardian.com
