After several weeks of regulatory uncertainty, Temu has quietly reactivated Direct shipments to the United States have been halted after the tightening of tariffs, which jeopardized its operations. The withdrawal of the de minimis exemption has made importing small packages more expensive, forcing the platform to rethink its logistics chain.
In parallel, the parent company PDD Holdings has adjusted spending and strategy: went through a transition period with local suppliers and is now returning to the cross-border scheme, with an advertising push to regain traction without abandoning its aggressive pricing positioning.
What triggered Temu's hiatus in the United States?
The trigger was the announcement of stricter tariffs and the elimination of the de minimis rule, which for years allowed tax-free entry of packages valued under $800. This regulatory umbrella had been key to Temu's model and that of other platforms focused on low-cost products.
The volume explained why it was so relevant: the US customs authority It processed 1.300 billion packages under that scheme, for a combined value of $64.600 billion. With the abolition of the benefit, small shipments from China began to face surcharges that, in certain cases, climbed to 120% or even 145%.
With that jump in costs, Temu stopped direct shipments from China to the US and temporarily opted to process orders via national suppliers starting on May 2, pending political clarity and readjustment of its logistical machinery.
The Truce and the Return: How It Works Now
Later came a temporary trade truce This eased some of the pressure: the additional surcharge on most goods was cut to around 30%, and for small packages, the impact was around 54%. It's not a complete relief, but it is a respite the company hasn't let go.
Since July, Temu has restored service to "full package delivery", taking on a large part of the logistics and customs procedures to gain control and resilience. At the same time, PDD Holdings reactivated its investment in marketing In the US, although the slowdown was felt in the numbers: Quarterly operating profit fell 21% year-on-year, although revenue grew 7% to $14.500 billion.
A business model that tries to protect itself
The competitive context has changed: if All chains assume higher tariffsThe pressure on Temu's price differential is fading. The company is confident that its lean structure and factory-direct shipping will remain more efficient than maintaining warehouses and inventory in the United States.
In addition, the group has taken note of the rival: Shein has survived in the US thanks to its own cross-border logistics.That's why Temu is accelerating the construction of internal infrastructure and capabilities to reduce its dependence on third parties and reduce its exposure to inspections and bottlenecks.
Impact on sellers and consumers
Early signs are mixed. A supplier from Zhejiang says the Resumption of direct shipments expanded coverage and facilitated the recovery of sales, while another seller from Guizhou is more cautious due to a purchasing power that has not yet returned to pre-tariff shock levels.
For the final buyer, the practical consequence is that The total price and delivery times may vary. depending on the type of product, the route, and customs pressure. Even so, if other retailers also increase prices, the relative attractiveness of the Temu ticket could remain.
This return of Temu is not a leap into the void, but a calculated repositioning in the face of a more demanding boardThe truce is temporary, and tariffs could change, but the platform is banking on its operational effectiveness and direct manufacturing to continue to sustain its value proposition for those seeking uncomplicated price.
