Temu offers ‘aggressive’ $1,000 payouts to lure US retailers as

Temu offers ‘aggressive’ $1,000 payouts to lure US retailers as

Online Chinese discounter Temu is providing $1,000 to middlemen who get US retailers to promote items on its platform as it grapples with President Trump’s tariffs, The Post has realized. 

The provide comes after the US ended a tariff loophole called the “de minimus” exemption, which allowed companies like Temu to ship items valued under $800 to the US without paying any duties, earlier this yr.

Now Temu is scrambling to broaden its network of US sellers to keep away from tariffs and delivery prices on the made-in-China clothes, jewellery and residential items it focuses on.

“Their beloved loophole is dead,” Amazon guide Jon Elder told The Post this week.

“Temu is much more aggressive because they want to be a cheap Amazon,” he added.

Chinese discounter Temu is attempting to add US sellers to its platform by paying $1,000 for each vendor that indicators up. julien leiv – inventory.adobe.com

“Introduce your seller to sell on Temu and earn $1,000,” a Temu rep not too long ago wrote Elder, who posted the word on his LinkedIn profile on Tuesday.

Another Amazon guide, Abeer Jawaid, shared on LinkedIn that she’d obtained the Temu provide in her inbox, too.

A spokesperson for Temu declined to touch upon the particular promotion or whether or not it was impressed by the end of the “de minimis” exemption.

But Temu acknowledged that it’s quickly increasing its network of local retailers after opening its market to US sellers in November 2024.

“Temu is offering an additional channel for local sellers to reach new audiences,” the spokesperson said in an announcement. “We aim to support the growth of local businesses while giving consumers more choices.”

Temu is owned by conglomerate PDD Holdings, which is headquartered in Shanghai and Dublin. PDD’s shares are up about 40% yr to date and its income grew by 7%, to $14.5 billion, in the most latest quarter. That was its slowest progress in years, apparently due to the tariffs.

Until this yr Temu shipped most of its items to the US without paying taxes. AA+W – inventory.adobe.com

Shop Succulents’ proprietor Jessica De Gennaro has been promoting vegetation on Temu since February, however she not too long ago acquired an electronic mail providing her a fee-free interval “as if I was not on the platform.”

“I actually thought about contacting them asking whether I’m eligible because my company was one of its earlier sellers,” she told The Post.

Some see the promotions as “reeking of desperation,” said Chris McCabe, a former Amazon account investigator turned e-commerce guide.

Shein’s and Temu’s progress in the US has slowed down due to new tariff insurance policies in the US. REUTERS

Prior to the start of the tariffs, it was increase occasions for Temu and its Chinese rival Shein.

The “de minimus” rule — which dates again to the Nineteen Thirties and was meant to let American vacationers carry souvenirs dwelling hassle-free — helped allow the fast-fashion corporations’ explosive progress. Shein and Temu’s exports soared to $66 billion in 2023, up from $5.3 billion in 2018, according to a report the Congressional Research Service printed earlier this yr.

US tariffs on items from China at present vary from 47% to 57%, Trump said last month.

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