The end of cheap Temu and Shein? How new tariffs are reshaping online Shopping for Millions of Americans

Rena Scott, a 64-year-old retired registered nurse in Virginia, never imagined that online shopping would become a financial lifeline. With a tight budget and an eye for bargains, she turned to Temu, the Chinese e-commerce giant, as her go-to source for nearly everything—craft supplies, clothing, furniture, and even household rugs.
“I have a whole yarn room,” she laughed, referring to the 53 packages of yarn she once ordered in bulk from Temu. For her, shopping on the platform was a “no-brainer.”
But this convenient world of low-cost, imported goods is now being upended.
Millions of Americans who rely on ultra-affordable platforms like Temu and Shein are feeling the sting of a new economic reality, as former President Donald Trump’s revived trade policies tighten the screws on Chinese imports. A sweeping 145% tariff on goods from China, combined with a 10% minimum tax on imports from all other countries, has sent prices soaring. Adding to the shock is the expiration of the “de minimis” exemption on May 2, which had previously allowed packages valued under $800 to enter the U.S. duty-free.
On Friday, Temu and Shein quietly raised prices across a broad range of products, from lawn chairs to swimsuits. For many Americans, even the "cheap" options are no longer affordable.
“I can’t afford to buy from Temu now, and I already couldn’t afford to buy in this country,” Scott said. Her favorite Temu cabinet, once $56, now costs more than $80. “That’s just not sustainable.”
Hardest Hit: Lower-Income Households
Scott’s story is far from unique. After a health crisis left her unable to work, she’s been surviving on disability pay, keeping her expenses minimal—no fast food in over a year, and the same car since 2005. She keeps her air conditioning set at 85 degrees to manage rising utility costs.
The expiration of the de minimis rule disproportionately affects Americans living in lower-income areas. According to economists from UCLA and Yale, nearly 48% of such packages were delivered to the poorest ZIP codes in the country, while only 22% went to the wealthiest. Further research shows that in 2021, the lowest-income households in the U.S. spent more than triple their share of income on clothing compared to their wealthier counterparts.
The Great Stock-Up
Phillip Dampier, a 57-year-old consumer rights advocate in Rochester, New York, has spent the past two weeks on what he calls a “shopping blitz.” He’s been combing through Chinese e-commerce sites like Temu, Shein, AliExpress, and even Taobao for essentials—from blankets and paper goods to kitchen tools and furniture.
“I’m stocking up for the next two years,” he said, “because I have a feeling this economy is about to tank, and we’re going to see shortages like we did during the pandemic.”
Once a loyal Amazon customer, Dampier shifted to Chinese e-commerce platforms after growing dissatisfied with rising prices and declining customer service on Amazon. Ironically, even Amazon recently considered showing the added costs of tariffs on its site—until Trump reportedly called Jeff Bezos to complain. A spokesperson later clarified that it “was never a consideration for the main Amazon site,” which the former president praised as a “good call.”
Controversy Behind the Clicks
While these e-commerce platforms offer unbeatable deals, critics argue the costs are just hidden elsewhere—through environmental damage, poor labor practices, and rampant overconsumption. Temu and Shein have been accused of flooding the market with cheaply made goods that often end up in landfills.
Yet for shoppers like Scott and Dampier, the choice isn’t between ethical consumption and convenience—it’s between buying essentials affordably or not buying them at all.
“Even if I go to my local Walmart, that product was probably made overseas, in a country where they pay horrible wages or use child labor,” Scott pointed out. “And if it’s made in the U.S., it’s wicked expensive.”
Dampier adds that overconsumption is hardly exclusive to Chinese retailers. “People can overshop at TJ Maxx or Ross too. It's biased to single out Temu and Shein just because they’re cheaper.”
Tariffs Meant to Protect, But at What Cost?
The Trump administration insists that these tariffs are necessary to bolster American manufacturing and reduce reliance on foreign goods. But consumers are skeptical.
“The entire idea of tariffs is idiotic, in my opinion,” Dampier said bluntly. “The administration is trying to bully everybody, and it’s wrong. The tariff policy is wrong.”
While Washington touts protectionism, Main Street feels the pinch. For now, millions of Americans like Scott and Dampier are left navigating a marketplace where even bargain hunting is becoming a luxury.
And as prices continue to rise, one thing is clear: the era of dirt-cheap hauls from Chinese e-commerce giants may be coming to an end.
Would you like a shorter version of this article for social media or newsletter use?