The tariffs imposed by President Trump now affect both large companies like Apple and smaller brands including Temu and Shein because they face tripled rates on Chinese imports. The “De Minimis Tax Exemption” duty-free benefit for packages under $800 from China expired when Trump signed the tariff increase on Tuesday. The previous 30% value or $25 per item tariff established by Trump last week increased to 90% or $50 per item on May 2 before he announced the 104% blanket tariff on Chinese goods. The per-item fee will increase to $150 starting from June 1. Shoppers absorbed all costs during the February test period when postal carriers selected between percentage-based or flat rate pricing.
The Chinese supply chain dependency of Temu and Shein along with AliExpress becomes problematic because their affordable products rely on Chinese manufacturing. The 104% China tariffs have caused Amazon to cut orders of Chinese-made goods and Asian products that fall under Trump’s “reciprocal” trade restrictions according to Bloomberg. The price increases will have a negative impact on all consumers’ wallets.
