Core Viewpoint - The article discusses the significant adjustment in the U.S. tariff policy targeting low-value packages from China, which will impact cross-border e-commerce platforms like Shein and Temu, forcing a fundamental restructuring of their business models [1][5][6]. Summary by Sections Tariff Policy Changes - On April 8, President Trump signed an executive order to raise tariffs on low-value packages (under $800) from China, marking a major shift in U.S. customs policy [1]. - The new tariff implementation will occur in three phases: - Historical standard (before May 1, 2025): Exempt from tariffs [1]. - First adjustment (May 2 - May 31, 2025): Tariff rate increases to 90% of the value or $75 per item [2]. - Ultimate measure (from June 1, 2025): A fixed tariff of $150 per item, equating to a punitive rate of 1500% on typical $10 goods [3]. Impact on E-commerce Platforms - The tariff changes specifically target the international postal transport system, directly affecting platforms like Shein and Temu that rely on the "de minimis" exemption [5]. - In 2023, 2.3 billion packages from China entered the U.S. through this channel, accounting for 62% of the U.S. cross-border e-commerce package volume [5]. - The policy effectively cuts off the long-standing tax-free channel for these platforms, necessitating a reevaluation of their U.S. business strategies [6]. Strategic Adjustments - In response to the new tariffs, Shein has established a new logistics center in Seattle, while Temu is expanding its U.S. warehousing network [6]. - Industry expert Ram Ben Tzion predicts that the new tariffs may compel these companies to reassess their business outlook in the U.S. [6]. - FedEx has indicated its willingness to assist clients in adapting to the new regulations, emphasizing the importance of accurate customs documentation [6]. Market Projections - Market research firm eMarketer forecasts that Temu's sales in the U.S. could reach $30 billion in 2024, positioning it as a strong competitor against retail giants like Amazon [6]. - However, the loss of the tax exemption may weaken Temu's price competitiveness in the market [6]. Chinese Government Response - The Chinese Ministry of Commerce has stated that the unilateral increase in tariffs by the U.S. will harm the mutual interests of businesses and consumers in both countries [7]. - China urges the U.S. to correct its actions and resolve concerns through equal negotiations to promote stable and sustainable development of U.S.-China relations [7].