In light of the impact of tariffs on U.S. e-commerce, two of the most disruptive marketplaces of recent years, Temu and SHEIN, face a double threat: a decline in active users and an adverse regulatory environment driven by Donald Trump’s tariff policies. The effects of tariffs and possible changes to the “de minimis” rule put at risk their business model based on low prices and cross-border shipping.
Statista data shows a downward trend in the use of these applications in the United States. In May 2024, Temu had nearly 33.9 million monthly active users (MAU), but by May 2025 this figure had plummeted to just 7.9 million. In the case of SHEIN, the number dropped to 7.1 million MAU over the same period.
This decline coincides with greater regulatory scrutiny, a less favorable political environment, and the growing consumer preference for “Made in USA” products due to the tariff climate.
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What tariff effects from Donald Trump threaten Temu and SHEIN?
Donald Trump’s tariff plan contemplates a significant increase in import taxes, which would directly affect platforms whose catalogs rely almost entirely on products manufactured in China and other Asian markets. Among the expected consequences:
- Increase in the final cost of products, reducing their competitive price advantage.
- Longer shipping times and higher costs due to stricter customs processes.
- Risk of market loss to local and regional competitors.
Statista data warns that rising import costs could reduce the appeal of Temu and SHEIN for consumers currently seeking the lowest possible prices.
What is the “de minimis” rule and why is it key for cross-border e-commerce?
One of the cornerstones of these platforms’ business model is the “de minimis” rule, which allows packages worth up to 800 USD to enter without paying tariffs or taxes. In 2023, approximately 30% of daily shipments from Temu and SHEIN to the United States entered under this scheme.
However, tightening this rule is one of Trump’s trade agenda objectives. If the threshold were lowered or the exemption eliminated, each package could face additional charges, directly affecting consumer prices.
How is consumer behavior changing?
The study reveals that between March and May 2025, the number of consumers who:
- Choose domestic brands and products to avoid price increases.
- Delay or accelerate purchases depending on price expectations.
- Reduce purchases of imported goods, especially in fashion and home categories.
For marketplaces like Temu and SHEIN, this means they must rethink their marketing strategy and assortment to maintain the interest of increasingly cost-conscious consumers who care about the origin of the products.
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