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China’s ‘mind-blowingly’ cheap shopping app Temu hits roadblocks in south-east Asia


Known for its deep discounts and viral marketing, the online marketplace has fallen afoul of regulators for threatening the livelihoods of local vendors

Chinese online marketplace Temu has enjoyed explosive international growth off the back of an eye-catching and often absurdly cheap range of products, but those cut-price tactics have met increasing roadblocks as it seeks to conquer new markets in south-east Asia. The flood of cheaper Chinese-made products – often with minimal import taxes – has damaged local vendors and manufacturers, who cannot beat the speed, quality or prices offered online, according to Simon Torring, co-founder of market insights firm Cube. That boom came at the right time for Temu to chase international growth, as a slowing Chinese economy saw domestic customers cut back on Pinduoduo purchases, according to Jianggan Li, chief executive at venture firm Momentum Works.

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