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Temu, a popular e-commerce app owned by China’s PDD Holdings, tops the list of most downloaded free apps on Apple’s US iOS store for the second year in a row, making Chinese apps a huge success in the world’s largest consumer market. It is highlighted that it contains.
ByteDance’s TikTok came in third place in the ranking despite questions about its ability to continue operating in the US, while Temu’s competitor, fast fashion giant Shein, came in 12th place.
According to Apple’s iOS, it accounts for more than 56% of the US mobile phone market. data From StatCounter.
Temu, which ships inexpensive goods from China, first entered the U.S. market in 2022. The company is dominating the market and putting pressure on existing dominant companies. Amazon.
But Chinese companies face risks posed by increased scrutiny from U.S. authorities and the tariffs that the incoming Trump administration has promised to raise.
Regulatory oversight, customs risks
Companies like Tem and Shein are attracting Washington’s attention as they lure American consumers with cheap products and aggressive advertising.
The Biden administration announced in September that: The new proposal aims to stop “overuse and abuse” of long-standing “de minimis” provisions by companies such as Shein and Temu. This provision exempts shipments under $800 from certain import taxes.
If Tem and Shein lose their minimum exemptions, experts say prices could rise and Chinese companies become less competitive. he told CNBC.
President-elect Donald Trump’s impending return to the White House has added to the uncertainty, as the president has made curbing imports from China a major focus of his election campaign. President Trump has proposed imposing tariffs as high as 60% to 100% on products from China, but it is unclear whether he will follow through on that threat.
U.S. officials are not the only ones concerned about Chinese imports flooding the domestic market.
In Southeast Asia, Vietnam and Indonesia imposed various anti-dumping duties on Chinese productsMeanwhile, Thailand recently announced measures to monitor cheap imports. Early this month, Vietnam banned Tem The Chinese company started operations in the country just two months after establishing a local subsidiary.
In a World Outlook report released Friday, Nomura said his U.S. economic team expects de minimis rule changes to be a key trade priority for the Trump administration, perhaps second only to tariff increases. said.
“This poses a new major downside risk to China’s exports to the United States in 2025,” the report said.
Nomura estimates that if the U.S. bans all small imports from China, it could reduce China’s annual export growth by 1.3% and reduce GDP growth by 0.2%.
