It is likely that Americans pay more for the products of the popular Chinese electronic commerce platforms such as Shein and Temu, since the United States postal service said it would stop accepting plots of China and Hong Kong.
The measure was announced on Tuesday, after the United States imposed an additional 10% rate in Chinese products and ended an exception of customs that allowed small value plots to enter the US. UU. Without paying taxes. Canada and Mexico managed to negotiate a breath of 25% tariffs threatened by the president of the United States, Donald Trump.
It is likely to affect online purchasing destinations such as Shein and Temu, popular among younger buyers in the US. For cheap clothing and other products, usually sent directly from China.
The cheap direct postal service helps these companies to maintain low costs, as well as the exemption of “minimis” that previously allowed shipments to be tax free if their value is less than $ 800.
It is likely that temporary suspension by USPS delays shipments and could mean higher long -term prices.
What exactly announced the USPS?
The United States postal service said in a notice that it would temporarily stop accepting incoming plots of the positions of China and Hong Kong until new notice.
Lyrics and floors: mail that measures up to 15 inches (38 centimeters) long or 3/4 inches (1.9 centimeters) thick, are not affected.
![Click to play the video: 'China returns to Trump with contrary rates on selected imports from USA.'](https://i0.wp.com/media.globalnews.ca/videostatic/news/2745l9v3v7-gsqj9mg2oa/TUE_CHINA_TARIFFS_SITE_THUMB_040225.jpg?w=1040&quality=70&strip=all)
The USPS did not declare a reason in a brief announcement, but the suspension occurred after Trump closed the exemption of Customs of Minimis “this week that allowed buyers and importers to avoid packages in packages worth $ 800.
The exemption was eliminated as part of an executive order to impose a 10% rate on Chinese goods.
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Customs and border protection of the United States previously declared an average of more than four million imports of “minimis” every week.
What is the impact and who is more affected?
Both consumers and companies can no longer send plots to the United States from Hong Kong or China.
It is likely that this movement affects Chinese Electronic Commerce companies such as Shein and Temu, although SHEIN is likely to be more affected, according to Jacob Cooke, CEO of the electronic marketing agency WPIC Marketing + Technologies.
Both companies have a significant market share in the US.
“In comparison with Temu, Shein depends more on USP for direct shipping to the consumer from China, and without this channel, he will have to trust private operators more,” Cooke said.
“That will increase the logistics costs, which together with the recent drainage of the exemption of Minimis for most China's products, could erode their price advantage.”
![Click to reproduce the video: 'The popular application of Electronic Commerce Temu Sparks incess privacy'](https://i1.wp.com/media.globalnews.ca/videostatic/news/tfcyeeat01-gqrf45o2gr/TEMU_PT_2.jpg?w=1040&quality=70&strip=all)
Cooke said that Temu operates in a semi-consignment model and often sends bulk orders to the US. Uu. Before complying with orders nationwide.
“The Temu model to obtain low -cost goods should also allow the platform to absorb higher logistics costs and continue to be competitive of prices,” he said.
Shein and Temu did not comment immediately.
China's Foreign Ministry spokesman, Lin Jian, said China would take “necessary measures” to protect their companies, and urged the United States to “stop politicizing economic and commercial problems and use them as a tool, and leave of unjustifiably repressing Chinese companies. “
![Click to play the video: 'Tech Talk: United States points to Shein and Temu & Hard Drive Fails'](https://i0.wp.com/media.globalnews.ca/videostatic/news/7p3zpxupv2-qvnlz0eitj/WEB_NN_TECH_TALK_SEPT_18TH.jpg?w=1040&quality=70&strip=all)
What are the possible ways for companies to work around the subject?
It is not clear how long the suspension of USPS will last, but the effort to take energetic measures against the exemption of Minimis seems a long -term change in politics, Cooke said.
“Shein and Temu will simply need to trust private operators as an alternative solution to the USPS suspension,” he said.
In the long term, Shein could accelerate its warehouse expansion in the United States, while Temu can double its semi-consignment model. When sending in bulk to the US, and complying with orders nationwide, the logistics cost can be reduced, Cooke said.
“Bulk shipping to the US and complying with the country can reduce logistics costs, but for Shein, this raises a long -term interruption for its business model that has quickly depended on new sku and send them directly to Consumers, “Cooke said.
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