Temu announced it will not raise prices for U.S. customers despite increased tariffs on Chinese imports, opting instead for a “local fulfillment model” where U.S.-based sellers handle orders. This decision follows previous indications of price increases due to global trade rules. Temu has been actively recruiting U.S. sellers to enhance service and customer reach. While this strategy may mitigate some impacts from tariffs, challenges remain as Temu competes with giants like Amazon and Walmart and faces pressure on profit margins, particularly with changes affecting its supply chain.
Source: https://www.supplychaindive.com/news/temu-walks-back-price-increases/747126/