Temu to stop selling goods from China directly to US customers

The online marketplace says it will move to a "local fulfillment model" in the US, with sales handled by locally based sellers.

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The online marketplace said sales would now be handled by "locally based sellers", with orders fulfilled from within the country.

The move comes as a duty-free rule for low-value packages is closed.

Temu, and rival Chinese retail giant Shein, had previously relied on the so-called "de minimis" exemption to sell and ship low-value items directly to the US without having to pay duties or import taxes.

Temu said it had been actively recruiting US firms to join the platform.