Shein, the fast-fashion giant, is experiencing a notable slowdown in its US sales momentum. The primary reason is the recent end of the de minimis tariff exemption. This policy previously allowed Shein to ship low-value packages to US customers without incurring import duties. With this exemption now lifted, Shein faces higher costs and increased operational challenges, directly impacting its pricing and sales strategy.
September Sales Drop and Strategic Adjustments
In September, Shein’s US sales dropped by 8% year-on-year. The company is now rethinking its approach to the American market. Shein may need to adjust its pricing, shipping policies, or even explore local manufacturing solutions to stay competitive. The end of the de minimis exemption represents a turning point, forcing Shein to adapt quickly to the new trade environment.
Impact on Fast Fashion and the Broader Industry
This development not only affects Shein but also signals a shift for other international retailers relying on similar exemptions. As Shein navigates these new challenges, industry watchers expect broader changes in global supply chains and e-commerce strategies.
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Shein’s US Momentum stalls as De Minimis tariff exemption ends
