Temu Adjusts Supply Chain to Combat New Tariffs, Risking Price Increases

Reported about 6 hours ago

Temu, the online shopping giant, is altering its supply chain strategy in response to President Trump's tariffs by shifting from a centralized model to a 'half-custody' framework, where factories will handle shipping. This change, aimed at reducing the impact of higher delivery costs due to the tariffs, may lead to increased prices for consumers as smaller vendors struggle to adjust. The strategy also moves Temu away from the comprehensive logistics model used by Amazon, potentially resulting in fewer Chinese suppliers on its platform.

Source: YAHOO

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