Simpler Trading VP of Options Danielle Shay analyzes Amazon and Super Micro Computer ahead of their earnings reports on ‘Making Money.’
Amazon is coming for popular China-linked online retailers Temu and Shein with plans for a discount section offering unbranded clothing, home goods and everyday necessities shipped directly to overseas customers from warehouses in China.
The e-commerce behemoth laid out details of the forthcoming new storefront recently in a closed-door meeting with Chinese sellers, according to The Information, which first reported the news.Â
Amazon is taking on China-linked bargain retailers Temu and Shein with a new discount section of its own. (Jaap Arriens/NurPhoto via Getty Images / Getty Images)
According to the outlet, Amazon told the suppliers it would begin signing up merchants for the shop this summer and begin accepting inventory sometime in the fall.
AMAZON TOPS $2 TRILLION, JOINS ELITE TECH CLUB
Sellers joining the bargain site can determine their product selection and pricing, and they can produce in small batches to test the demand for any new products they plan to launch, the report added.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| AMZN | AMAZON.COM INC. | 197.85 | +4.24 | +2.19% |
In response to the report, Amazon told FOX Business in a statement, “We are always exploring new ways to work with our selling partners to delight our customers with more selection, lower prices, and greater convenience.”
CALIFORNIA FINES AMAZON $6M FOR ALLEGED VIOLATIONS OF WAREHOUSE QUOTA LAW AT 2 WAREHOUSES
It is not clear whether these shipments will be made using a U.S. trade provision that exempts individual packages worth less than $800 from U.S. customs duties, The Information reported.
Amazon is plotting its most aggressive move yet to take on China-based bargain e-retailers Shein and Temu. (Davide Bonaldo/SOPA Images/LightRocket via Getty Images | Jakub Porzycki/NurPhoto / Fox News)
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| PDD | PDD HOLDINGS INC. | 131.94 | -6.29 | -4.55% |
PDD Holdings, Inc — ADR
GET FOX BUSINESS ON THE GO BY CLICKING HERE
E-commerce powerhouse Shein, which is trying to expand its market share before going public, and PDD Group-owned e-retailer Temu depend on the expedited clearance process, which is available for direct-to-consumer shipments valued at $800 or less.
Reuters contributed to this report.