Shein and Temu, the ultra-cheap, ultra-fast retail giants, could be facing a new reality under rules proposed by the White House on Friday.
These companies have become huge sellers of clothes and home goods shipped from China to the U.S. And both online retailers have been operating differently from most other big retailers, using a tax loophole that's saved them millions of dollars on import fees.
Instead of bringing large shipments into U.S. warehouses in bulk, Shein and Temu ship small individual orders directly to American shoppers. That means those packages can legally skip import taxes because U.S. law exempts shipments under $800 from import tax.
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