Temu, the Chinese online retail giant, has halted direct shipments from China to customers in the U.S. Going forward, all orders will be processed and shipped from warehouses located within the United States, a company spokesperson said on Friday. This change follows the end of a policy allowing Chinese goods worth up to $800 to enter the U.S. without being taxed, as The New York Times reported. 

The exemption, which President Donald Trump called a "big scam" harmful to small American businesses, ended on Friday. After Trump revealed his intention to close the “de minimis” loophole, which allowed goods worth less than $800 to set foot in the United States without any tariffs, Temu announced last month that it would change its prices. The term "de minimis" is Latin for "of the smallest." 

Last week, the company started charging import fees for U.S. customers buying Chinese products, sometimes causing prices to more than double the original cost. This change has had a powerful impact on international retailers, especially Chinese online platforms like Shein and Temu, which are now facing high duties. Recently, customers noticed that many Chinese products were removed from Temu's site, with only items shipped from domestic warehouses remaining. 

The company announced on Friday that US consumer pricing "remains unchanged as the platform transitions to a local fulfillment model." A company spokesperson stated, "All sales in the US are now handled by locally based sellers, with orders fulfilled from within the country." "Temu has been actively recruiting US sellers to join the platform. The move is designed to help local merchants reach more customers and grow their businesses. This shift is part of Temu's ongoing adjustments to improve service levels," the company added.