US Postal Service Parcel Ban: Impact on Chinese E-Commerce Giants Shein and Temu

The US Postal Service's suspension of parcel acceptance from China and Hong Kong has major implications for Chinese e-commerce platforms Shein and Temu. The move follows the end of a customs exemption and the imposition of a 10% tariff on Chinese goods, likely causing price increases and logistical challenges.

The United States Postal Service (USPS) has announced a temporary halt to accepting parcels from Chinese and Hong Kong posts. This decision is expected to affect major Chinese e-commerce platforms like Shein and Temu, which rely on direct shipping to American consumers.

This decision follows the elimination of the 'de minimis' customs exemption and the imposition of an additional 10% tariff on Chinese goods, measures introduced by the US government. The removal of these provisions is likely to result in delays and increased costs for consumers seeking budget-friendly products from these platforms.

Industry insiders suggest that Shein, which relies heavily on USPS for direct shipping from China, may face greater challenges compared to Temu, which already employs a model that enables it to absorb higher logistics costs. Both companies may turn to private carriers as possible alternatives amid this ongoing disruption.

(With inputs from agencies.)