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Shein Faces New Tariffs and Loophole Closure, Raising Prices for U.S. Shoppers

Despite extensive lobbying and ties to key Trump officials, Shein has been hit by trade measures that threaten its low-cost model.

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Overview

  • The Trump administration imposed steep tariffs on Chinese imports and ended the de minimis rule, which had allowed duty-free entry for low-value packages under $800.
  • Shein has announced price increases for U.S. customers and is bracing for longer shipping times due to the new trade policies.
  • The Chinese fast-fashion giant spent millions on lobbying efforts and cultivated ties with Trump administration officials, including those with financial or professional connections to the company.
  • Shein’s business model, which relied heavily on the now-closed de minimis provision, faces significant disruption from these trade policy changes.
  • Critics have highlighted Shein's history of labor abuse allegations and environmental concerns, which remain under scrutiny alongside its political influence efforts.