Temu's Market Share Explodes to 24%, Matching Amazon
Chinese e-commerce platform Temu grew its share of the cross-border market from just 1% in 2022 to 24% in 2025, placing it in a statistical tie with industry leader Amazon. According to a survey published on January 14, 2026, by the International Post Corp., Temu's blistering expansion has fundamentally reshaped the competitive landscape. The report, which surveyed nearly 31,000 consumers across 37 countries, shows that Chinese fast-fashion rival Shein has seen its market share level off at 9% over the past two years.
The disruption has decimated legacy platforms. Between 2018 and 2025, Wish lost 95% of its market share, while eBay and AliExpress saw their shares contract by 68% and 33%, respectively. This rapid reallocation of consumer spending highlights the effectiveness of Temu's aggressive pricing and marketing strategy in capturing a significant portion of the international online retail market.
New Tariffs Threaten to Halt Temu's Growth in 2026
Temu's low-cost advantage is now under direct threat from regulatory changes in key Western markets. The United States' elimination of the 'de minimis' rule, which previously allowed duty-free imports for low-value shipments, forces Chinese e-tailers to pass higher logistics and tariff costs on to consumers. Europe is pursuing similar measures to crack down on cheap e-commerce imports from China, compounding the pressure.
This shift directly challenges the foundation of Temu's business model. With 61% of international shoppers demanding clear information on delivery charges before purchase, the new requirement to pay duties upfront at checkout introduces significant friction. The new regulatory environment has prompted stark warnings from industry analysts.
Shein and Temu thrived in a unique window of deregulation and consumer appetite. But 2026 will be their toughest year yet — not because of competition, but because of tariffs and trade regulations that cut to the heart of their model.
— Friedrich Schwandt, ECDB Chief Executive Officer.
