Temu’s tariff-induced ad retreat opens a window for retail rivals

Temu has been one of the biggest spenders in digital advertising, particularly paid social. Now, it's pulling back due to tariff pressure.

Apr 17, 2025 - 05:05
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Temu’s tariff-induced ad retreat opens a window for retail rivals

When Temu sneezes, paid social advertising catches a cold. 

The Chinese e-commerce juggernaut has been one of the most aggressive spenders in digital advertising, blitzing Facebook and Instagram with a volume and velocity of ads few could match. But that spending spree is now showing signs of strain – thanks to a familiar force: President Donald Trump. 

The president’s renewed push for steep tariffs on Chinese imports has started to rattle the retailer – and much of the social ad business.

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