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Shein raised its selling prices in the US, with some increases reaching up to three times, does Trump still insist there is no inflation?
The Chinese fast fashion giant Shein has increased the prices of its products in the United States, with beauty and health products rising by 51%, and kitchen towels seeing an even higher increase of 377%. Although Americans have started hoarding frantically, what is hoarded for a moment cannot be hoarded for a lifetime. The majority of items relied on imports in the U.S., and the tariff war may have already severely impacted the lives of Americans.
Shein raises prices in the US to cope with tariffs
According to data from Bloomberg, Shein raised the prices of most products in the United States last Friday. The average price of the top 100 products in the beauty and health category increased by 51% compared to Thursday, with some products doubling in price. For home and kitchen goods and toys, the average increase exceeded 30%, with the price of ten kitchen towels rising as much as 377%. The price of women's clothing increased by 8%.
Due to the U.S. government's decision to end the "minimum" exemption for small parcels from mainland China and Hong Kong, many products of e-commerce shopping platforms such as Shein and Temu face 120% tariffs. In recent years, Chinese exporters have taken full advantage of this exemption, allowing goods worth less than $800 to enter the U.S. duty-free. The U.S. will also increase the per-mail fee to $100 for items entering after May 2 and higher after June 1.
Slapping Trump, Temu and Shein raise prices on American goods
U.S. President Trump stated on social media on April 21 that due to the decline in energy and grocery prices, the U.S. has "virtually no inflation." However, Shein's price increase reflects how Chinese online retailers have recently attempted to pass on additional import costs to American consumers.
As early as February this year, in order to evade Trump's tariff policy, Shein provided incentives to some Chinese suppliers to establish production capabilities in Vietnam. Temu hopes that Chinese factories will directly ship their products in bulk to U.S. warehouses, using the so-called "semi-consolidation" framework.
Due to American shoppers stocking up on a variety of goods from makeup brushes to household appliances before price increases caused by tariffs, sales for Temu and Shein bounced back in March and early April. Both companies announced earlier this month that they would raise prices in the U.S. market.
Are most items reliant on imports, has America really become great again?
According to data from the American Apparel and Footwear Association, 97% of apparel and footwear in the United States comes from abroad. This means that almost every new piece of clothing sold in the country will be affected by Trump's comprehensive tariffs.
Although the American people have started to stockpile frantically, what is hoarded for a moment cannot be hoarded for a lifetime. As President Trump’s second term approaches the symbolically significant milestone of a hundred days, voters' dissatisfaction with his economic management is also reflected in his approval ratings.
Despite Treasury Secretary Becerra reiterating the U.S. government's view that Beijing will be forced to sit at the negotiating table because China cannot bear the latest 145% tariffs imposed by Trump on Chinese goods, the excessively high tariffs have directly disrupted most trade activities between China and the U.S., while Chinese manufacturers are also trying to pass the costs directly onto American consumers.
Does this tariff war really affect inflation? Can the American people really experience "making America great again"? Or has life already been negatively affected?
This article discusses how Shein has raised its prices in the U.S., with some increases reaching up to three times. Does Trump still insist there is no inflation? Originally appeared in Chain News ABMedia.