Fast fashion retailer Shein has reversed its earlier decision to increase prices, a change that comes shortly after the US and China reached an agreement to ease mutual tariffs.
On its website, Shein addressed “a lot of confusion” surrounding customs, duties, and tariffs. In its statement, the company noted, “there’s lots of chatter around tariffs,” while assuring shoppers that they “don’t need to worry about paying anything extra after checking out.”
The announcement further emphasized that the amount paid at checkout is all-inclusive, eliminating any need for customers to anticipate additional charges. The company stated: “You’ll never be asked to pay any tariff or additional fees before or after your package is delivered. Any outside information claiming that you have to pay tariffs separately for your SHEIN items is false.”
This situation arose as the US and China agreed to a 90-day suspension of newly introduced tariffs and import duties. Effective from May 14, the agreement reduced US tariffs on Chinese imports to 30%, down significantly from 145%, while Chinese tariffs on US imports were lowered to 10%.
The tariff suspension follows Shein’s price increases last month, which were a reaction to the proposed 145% tariffs on Chinese goods under US President Donald Trump’s policies. Bloomberg reported that Shein had increased prices by as much as 377% on certain items.
In explaining the price adjustments at that time, the company stated: “Due to recent changes in global trade rules and tariffs, our operating expenses have gone up. To keep offering the products you love without compromising on quality, we will be making price adjustments. We’re doing everything we can to keep prices low and minimise the impact on you.”
To mitigate the challenges posed by unpredictable trade relations between the US and China, Shein is now reportedly leasing warehouse space in Vietnam. Sources cited by Reuters revealed the company has secured nearly 15 hectares of industrial land near Ho Chi Minh City to bolster its logistics operations.
