Chinese fast fashion giants Shein and Temu released a statement announcing plans to increase their prices due to the additional tariffs which were recently imposed.
The statement posted on the website read: “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.”
“We’re doing everything we can to keep prices low and minimize the impact on you. Our team is working hard to improve your shopping experience and stay true to our mission: making fashion accessible for everyone.”
The online fast fashion retailers announced the new price increases are set to take place from Friday onwards. However, details of the overall cost effects were not disclosed.
The fashion retailers are dependent on a Chinese-based supply chain, which is set to be affected by the newly imposed tariffs of 125% on imported Chinese goods.
Shein and Temu’s business model hinges on delivering low-cost orders directly to customers, maintaining its competitive edge through affordable fashion, which is now at risk.
Previously, the de minimis exemption allowed goods valued at under $800 to enter the US duty-free, however, the tax loophole will soon be suspended.
Earlier this year, Shein slashed its valuation ahead of its public IPO in London due to the potential disruption in its supply chain.
Additionally, a recent survey released by the fast fashion giant revealed that 67% of American shoppers view inflation as the most concerning issue in 2025.
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