Amazon CEO Andy Jassy (Getty Images)

Amazon is the newest discount Chinese retailer

Amazon took a page out of Temu and Shein’s book: cheap shipping from China to US consumers.

11/14/24 4:02PM

On Wednesday, Amazon launched its new discount storefront, Amazon Haul, to compete with Chinese low-cost e-retailers like Temu and Shein. According to Amazon, all items are priced below $20, with “majority priced $10 and under, and some items as low as $1.”

(I don’t know if I would buy $1 eyelash curlers or oven gloves from Amazon Haul, but I digress.)

As my colleagues David and Hyunsoo noted earlier today, Amazon still dwarfs Temu and Shein’s US shipment volume (Amazon has a 41% share in the US e-commerce market compared to 1% each for the other two) and web traffic (22 billion hits vs. under 1 billion for both combined in 2024). However, thanks to a tax and tariff loophole known as “de minimis,” which makes imported goods under $800 duty-free, DTC Chinese e-commerce companies have exploded since 2016. A congressional investigation from last year showed that in 2022, 30% of all de minimis imports came from Temu and Shein, and 60% came from China.

Ironically, the key to Amazon’s sub-$20 service is simply copying Temu and Shein’s strategy of shipping directly from China. Amazon noted that the typical delivery time for items on its “Amazon Haul” store is “one to two weeks.” The reason for that is because Amazon will be shipping directly from Guangdong, China, according to The Information, and it will charge sellers “significantly lower fulfillment fees” for items sold through its Haul store than it does for domestically shipped items.

While the Biden administration is currently reviewing proposals to end the de minimis loophole, a move that would impact Amazon as much as Shein and Temu, it looks like, for now, the retail giant is taking advantage of one of the Chinese e-commerce companies’ best trade practice.

3d sketch poster trend collage image of healthy salad leaves nutrition rotten iceberg mouth smile lips food diet hand hold fork

The slop bowl recession just sent Chipotle’s stock cratering

Chipotle dropped 18% yesterday, and its woes weighed on the wider slop bowl complex, dragging Cava and Sweetgreen down, too.

Claire Yubin Oh11h

J. Edward Moreno

10/30/25

Most health insurers beat estimates in Q3, but investors have mixed feelings

While generally in line with expectations, medical costs still haven’t come down.

Millie Giles10/30/25

eBay stock slumps on gloomy Q4 outlook despite solid Q3 earnings

Shares of eBay fell as much as 10.5% in premarket trading on Thursday morning after the company gave a lower-than-expected profit forecast for the important holiday shopping season.

The e-commerce giant reported solid numbers for the third quarter on Wednesday, with revenue up 9% as reported to $2.8 billion and gross merchandise volume rising 10% to $20.1 billion, topping the average analyst forecast of $19.4 billion, per Bloomberg.

However, concerns about the future somewhat overshadowed these results.

eBay outlined its profit outlook for the period ending in December to $1.31 to $1.36 a share, with revenue at $2.83 billion to $2.89 billion. According to Bloomberg-compiled data, this broadly matches Wall Street’s estimates for the top line, but misses on the bottom line, with analysts forecasting EPS to come in at $1.39 — suggesting the company expects some further margin pressure.

The company has been facing macroeconomic challenges since the US ended the de minimis tariff exemption in late August, with the online marketplace reliant on shipments. One small silver lining? CFO Peggy Alford highlighted a “less durable trend” on a post-earnings call: that as commodity prices for precious metals boomed, demand for bullion and collectible coins on eBay spiked.