RE: Oops....loophole closed. Business model for Shein is exposed.5 Feb 2025 13:55
Read it again BFD preferably using a pair of non rose tinted specs eh kiddo .
Spideystreet
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RE: Shein & Temu4 Feb 2025 17:13
Destroyed business model ???(he just wings it daily on here)
ADAPTING
Both Temu, a subsidiary of Chinese e-commerce giant PDD Holdings, and Singapore-headquartered Shein, which plans to list in London this year, have taken measures such as sourcing more products from outside China, opening U.S. warehouses and bringing more U.S. sellers on board, to mitigate the impact.
"So the lifting of de minimis will not impact 100% of the products they sell in the U.S.," said Kaziukenas, adding: "It will have an impact, but it's not going to be the end of the reign of Shein and Temu".
Both companies have brought more U.S. and European sellers onto their platform and established warehouses in the U.S.
The vast majority of Shein's products are still made in China, but it has started to diversify its supply chain, adding suppliers in Brazil and Turkey.
The cancellation of de minimis may add a few cents to the price of each product sold by Shein and Temu in the United States, said Sheng Lu, professor of fashion and apparel studies at the University of Delaware.
But ultimately the change could cause more pain for small and medium-sized online retailers who source from China, which have fewer resources to absorb the increased costs and adapt their supply chain.
"My studies consistently show that, unlike large companies, which have built an extensive sourcing network worldwide, small and medium-sized companies are more dependent on sourcing from China," said Lu.