Amazon is already altering its ultra-cheap Temu copycat

Amazon is already altering its ultra-cheap Temu copycat Leave a comment


As Donald Trump’s sweeping tariffs are set to take impact, Amazon is tweaking a few of the way it does enterprise — particularly the way it operates Amazon Haul, the corporate’s model of discount bin Chinese language websites like Temu and Shein.

The Info reported Tuesday that Amazon Haul choices will now embody merchandise from well-known manufacturers like Adidas, Levi’s, and Hole which are shipped from Amazon’s stock held in warehouses within the US. That is just about the other of what Haul initially promised: very (very) low-cost unbranded merchandise coming straight from producers in China. In alternate for ready every week or two for packages to come back from China, Amazon Haul consumers obtained to load up their digital buying carts with clothes, equipment, dwelling items, and extra that have been all priced beneath $20.

That baseline has gone out the window: scrolling by Haul, a brand new “Model Faves” part options merchandise from corporations that American consumers are extra aware of, like Beneath Armour, The Kids’s Place, and Vera Bradley. The beneath $20 hook additionally appears irrelevant now: in a number of seconds of shopping I discovered make-up pouches for $20.99, leggings for $27.20, and clothes for $34.82. A few of these merchandise are the identical value on Haul and they’re on traditional Amazon, which raises the query of why a client would purchase it on Haul to start with. Amazon didn’t instantly reply to a request for remark.

The change to how Haul operates is probably going related to tariffs imposed by Trump, which can tax all imports coming into the US. However as I’ve written beforehand, companies like Haul are uniquely susceptible as a result of their tremendous low costs are depending on optimum commerce insurance policies that almost all consumers by no means consider. Particularly, Haul (in addition to Shein, Temu, AliExpress and drop delivery operations) relied on a carve out that enables packages valued beneath $800 to enter the US obligation free. The so-called de minimis rule has been broadly used — 1.4 billion packages claimed it in 2024 — however now Trump plans to kill the exemption starting Might 2nd. That places Amazon Haul consumers on the hook for duties they in any other case could be exempt from.

Amazon’s transfer in the direction of stocking its Haul part with stock already within the US avoids these new tariffs — a minimum of briefly. To be clear, it seems nearly all of the merchandise listed on Haul are nonetheless of the Temu selection, however starting subsequent month, consumers will probably be accountable for tariffs if Trump’s plan proceeds as he’s threatened it would. However by fulfilling Haul orders utilizing inventory that’s already in US warehouses, Amazon is shopping for itself a bit little bit of time. However in just some weeks, consumers’ “hauls” of low-cost issues will possible be much less inexpensive.

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