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News in English (USA) / 17.04.2025 / 06:00

Temu and Shein Reduce Ad Spending Amid Trade War Challenges

In a significant shift driven by escalating trade tensions and new tariffs, both Temu and Shein have drastically cut their advertising expenditures in the United States. Recent reports indicate that Temu has withdrawn its ads from platforms such as Google and Meta, leading to a dramatic fall in its rankings on app stores. The imposition of tariffs has not only affected shipping costs from China but has also resulted in a steep decline in ad shares for Temu, pushing it out of the top position among shopping apps in the U.S. Analysts note that this reduction in ad spending comes at a time when consumer engagement and app downloads have significantly plummeted, marking a challenging period for the fast-fashion giants amid heightened scrutiny and competition.
Financial Times, CNBC, Reuters, The Information, Adweek, AdExchanger, Search Engine Land, Sherwood News, WSJ, South China Morning Post