Shein and Temu send tons of products every day from China to Europe. In Germany alone, it’s estimated to be around 400,000 packages per day, or nearly 150 million per 12 months. This has serious consequences for the air freight market, experts say.
Shein and Temu ship most of their products directly from factories in China to shoppers by air in individually addressed packages. They increasingly vie for limited air-cargo space to woo consumers with rapid transit times, based on greater than ten industry sources who spoke with Reuters. It leads to capability shortages and drives up freight prices from China.
Biggest trend
Experts indicate the big logistical implications. “The largest trend impacting air freight straight away shouldn’t be the Red Sea, it’s Chinese ecommerce firms like Shein or Temu”, said Basile Ricard, director of Greater China operations at freight forwarder Bollore Logistics.
‘Shein and Temu’s impact surpasses that of the Red Sea.’
The Chinese firms are said to dismantle goods where possible to pack and ship them below the customs threshold for various countries.
Shein and Temu in Germany
Shein and Temu are estimated to send out 4,000 to five,000 tons of products every day worldwide. It requires a capability surpassing that of 100 Boeing 777 freighters. In Germany alone, roughly 400,000 packages arrive every day, equating to just about 150 million annually. Nonetheless, the expansion shouldn’t be slowing down.
Resistance
Shein and Temu have develop into significant players in various European countries, including Germany, in a really short time. Recently, Handelsverband Deutschland (HDE) called on politicians to be stricter towards low-cost marketplaces from China. Earlier, French activists urged for legislative and regulatory measures against Shein.
The Chinese newcomers not only put pressure on local players but in addition on major American marketplaces in Europe. Within the meantime Temu is working on expanding its delivery network on the continent. It should also add European sellers to its platform soon.
