In a significant move affecting U.S. consumers, the e-commerce platforms Shein and Temu have revealed plans to increase their prices starting April 25, 2025. This adjustment comes in response to President Donald Trump’s executive order aimed at eliminating a loophole regarding low-value imports.

Context of the Price Increase

Both Shein, a fast-fashion retailer now headquartered in Singapore, and Temu, owned by PDD Holdings, have cited rising operating expenses due to recent changes in global trade rules. Shein specifically stated, “Due to recent changes in global trade rules and tariffs, our operating expenses have gone up. To keep offering the products you love without compromising on quality, we will be making price adjustments starting April 25, 2025.”

Shein has encouraged consumers to take advantage of current prices before the increase, urging shoppers to “buy their products now at today’s rates,” as prices will remain unchanged until the specified date.

Impact of Tariff Policy

The price hikes are largely attributed to President Trump’s recent executive order, which will close the “de minimis” exemption on low-value imports, set to take effect on May 2. This regulation previously allowed goods valued at less than $800 to enter the U.S. duty-free, a policy that has significantly benefited both companies. With the impending changes, it is unclear how much more expensive these items will become.

As of now, Shein’s dresses range from approximately $6 to $91, while Temu’s products are priced between $2.48 and $210, as reported by Reuters. Both retailers have seen remarkable growth in the U.S., shipping around one million packages daily, according to parcel analysis from ShipMatrix.

Response to Regulatory Changes

The announcement from both companies follows the tighter regulatory environment that encompasses their business models. The closure of the “de minimis” customs exemption is viewed as a measure to combat not only rising trade issues but also the illicit importation of synthetic opioids, according to a statement from the White House.

Lawmakers have expressed concerns regarding the practices of fast-fashion retailers like Shein and Temu, emphasizing potential environmental impacts and allegations of labor issues associated with the industry.