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Shein slashes US prices to reclaim consumers amid temporary tariff cuts

Fast fashion brand Shein has backtracked on an earlier decision to raise its prices, a move that comes shortly after the US and China agreed terms to lower mutual tariffs.

Jangoulun Singsit May 20 2025

Shein sought to clarify "a lot of confusion" about customs, duties and tariffs, on its website. A statement read “there’s lots of chatter around tariffs,” and shoppers “don’t need to worry about paying anything extra after checking out”.

Shein's announcement further clarified that the total amount paid at checkout is comprehensive, negating the need for customers to anticipate further fees.

The company's statement said: "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."

The situation evolved when the US and China agreed to a 90-day suspension of the newly imposed tariffs and import duties.

The pause, which came into force on 14 May, reduces US tariffs on Chinese imports to 30% (down from 145%) and Chinese tariffs on US imports to 10%.

This development follows last month's price increases, which was a direct reaction to US President Donald Trump's proposed 145% tariffs on Chinese goods.

In response, Shein hiked prices as much as 377% on some items, according to Bloomberg.

The company had previously 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.”

Last week, sources cited by Reuters said that Shein is leasing warehouse space in Vietnam to address the impact of volatile trade relations between the US and China on its operation.

The company reportedly secured close to 15 hectares of industrial land for warehouse operations near Ho Chi Minh City.

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