Team Biden Targets Shein And Temu With New Rules To Curb 'Abuse' Of US Trade Loophole By Chinese E-Commerce Giants
Portfolio Pulse from Benzinga Neuro
The Biden-Harris Administration is implementing new rules to curb the abuse of the de minimis exemption by Chinese e-commerce platforms like Shein and PDD Holdings Inc.'s Temu. This exemption allows goods valued at $800 or less to enter the U.S. duty-free, and its misuse has led to a surge in low-value imports, affecting U.S. businesses and consumers. The administration plans to reform the exemption and improve enforcement.
September 13, 2024 | 12:49 pm
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PDD Holdings Inc., owner of Temu, is directly impacted by new U.S. regulations targeting the abuse of the de minimis exemption. This could lead to increased costs and regulatory scrutiny for PDD's operations in the U.S.
The Biden administration's new rules directly target PDD Holdings' Temu platform, which has been exploiting the de minimis exemption. This could lead to increased operational costs and regulatory challenges, negatively impacting PDD's short-term stock performance.
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