Chinese e-commerce giant Shein hiked up US prices of its products up to 377% ahead of the duty-free de minimis rule ending on May 2, reports Bloomberg.
The rule allowed international shipments under $800 to enter the US without tariff when sent directly to American consumers. However, President Donald Trump scrapped it and placed 120% tariffs on goods from China and Hong Kong.
Retail experts warn that fast fashion platforms like Shein and Temu could be hit hardest, with increased costs likely to be passed on to consumers. Several US shoppers have taken to social media sites like Reddit to mourn the end of low-cost products.
Shein has reportedly increased the price of beauty and health products by an average of 51%, with some items more than doubling. Price tags of home and kitchen goods have seen an average 30% increase, including a 377% surge for a 10-piece kitchen towel set.
In a small ray of hope, trade talks between the US and Asian nations are progressing well, says Treasury Secretary Scott Bessent. He also mentioned to ABC that China is under a “special negotiation,” which could take months to finalize.