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The trade war between the United States and China is having a huge effect on e-commerce platform Temu. Its number of daily users fell sharply in May, due to the scrapping of the exemption for low-cost parcels.
Advertising spending scaled back
After the Trump administration decided to scrap the so-called ‘de minimis’ regulation, which allowed Chinese companies to ship low-value parcels tariff-free to the US, Temu has lost more than half of its customers in the country. Reuters even reports that its number of daily users fell 58 % in May, citing figures from market research firm Sensor Tower.
