⚖️ Temu stops shipping from China to US

U.S. Tariff Hike Forces Temu to Pivot to Domestic Fulfillment

Temu, the fast-growing Chinese e-commerce platform, has stopped shipping directly from China to the U.S. in response to a new executive order from President Trump that eliminates the de minimis exemption. Previously, individual packages under $800 could enter the U.S. tariff-free, a loophole heavily used by platforms like Temu and Shein. With that rule revoked and tariffs on Chinese goods rising by more than 100%, Temu was seeing customers hit with triple-digit import charges—prompting a rapid shift to U.S.-based inventory and sellers.

What This Means for Marketplace Startups and Cross-Border E-Commerce

For startups in the e-commerce and logistics space, this move signals a turning point: global arbitrage strategies relying on low-cost cross-border shipping are no longer viable under current U.S. trade policy. Founders building global platforms or drop-shipping operations should reassess their fulfillment models, pricing assumptions, and supplier networks. Even American companies that depend on Chinese sourcing or low-cost imports may need to invest in local warehousing or diversify supply chains to stay competitive and compliant.

Opportunity in the Wake of Regulatory Shifts

While the short-term impact may be disruptive, this policy change opens new doors for U.S.-based startups—particularly those that offer fulfillment, logistics, or marketplace infrastructure for domestic sellers. Temu’s pivot to recruiting American vendors is a strong signal that platforms will now compete to onboard local inventory. Startups enabling small manufacturers or retailers to digitize operations and reach broader audiences may find new partnership or acquisition opportunities as global platforms scramble to localize.

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