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Temu Price Hike in Pakistan: Understanding the 2025 Customs Impact and E-Commerce Fallout

Temu Price Hike in Pakistan (2025): New Customs & Taxes Explained

Temu, the rapidly growing Chinese e-commerce giant, recently made headlines in Pakistan due to a shocking price surge of over 200–300% on many products.

What was once considered a hub for affordable accessories, gadgets, and fashion items has suddenly become a costly venture for Pakistani consumers. But why has this happened?

The answer lies in the new tax and customs policy rolled out by the Government of Pakistan in July 2025. With revised import duties, GST, and a digital tax targeting foreign platforms like Temu and AliExpress, the landscape of cross-border e-commerce is being transformed dramatically.

Table of Contents

2. Temu's Sudden Price Hike in Pakistan

In early July 2025, Pakistani shoppers were startled to see massive price increases on Temu. Products that previously cost PKR 300–400 were now listed for PKR 900–1,200 or even higher. This wasn't a minor fluctuation—it was a complete overhaul of pricing strategy on the platform.

According to user reports and online forums, some prices jumped by over 300%, without any change in product specifications or shipping methods. Initially perceived as a glitch or system error, it was soon evident that this was a calculated move in response to changing trade regulations in Pakistan.

3. The New Customs Policy: What Changed in July 2025?

Starting July 1, 2025, the Federal Board of Revenue (FBR) implemented a new customs and taxation framework targeting digital imports. The policy includes:

  • 18% GST on all imported goods regardless of category
  • 5% Digital Presence Tax on global e-commerce platforms operating in Pakistan
  • Revised Customs Duty Slabs under SRO 1151‑I/2025

This change came as part of Pakistan’s broader strategy to increase domestic revenue and level the playing field for local sellers competing against international e-commerce giants.

4. Breakdown of Taxes and Duties on Temu Orders

Let’s explore the cost components of a typical Temu purchase under the new rules:

  • Base Product Price: PKR 500
  • Shipping Fee: PKR 100
  • Customs Duty: 10% = PKR 50
  • GST (18% on total): PKR 117
  • Digital Tax (5% on total): PKR 32.50

Total Final Price: PKR 799.50

This represents a 60%+ increase on a basic product—even before Temu’s own price buffering, which raised prices even further.

5. Shipping Restrictions and Logistics Woes

The policy changes weren’t just about taxes. Several low-cost shipping options (like AliExpress Standard Shipping or Cainiao) were suspended or deprioritized. While Temu continues to ship via Speedaf and other regional carriers, users reported delays, inconsistencies in tracking, and poor handling of customs clearance.

AliExpress, on the other hand, temporarily disabled many shipping options for Pakistani addresses, citing logistical uncertainty. This only added to the chaos for consumers already frustrated by price hikes.

6. How Pakistani Consumers Are Reacting

Pakistani buyers have taken to platforms like Reddit, Twitter, and Facebook to vent their frustration. Many feel betrayed by platforms that built their user bases on the promise of affordability. The general sentiment includes:

  • Disappointment over massive price inflation
  • Confusion about hidden taxes and duties
  • Migration to local alternatives like Daraz or OLX
  • Calls for greater transparency from platforms

7. Temu's Official Response and Strategy

Temu released a public statement acknowledging the price spike, stating that the platform is simply \"adjusting to the new cost structures imposed by government policy.\" They indicated that the price buffer is temporary and meant to stabilize operations while tax clarifications are underway.

They also promised better communication going forward and committed to offering new discount schemes once the regulatory fog clears.

8. Temu vs AliExpress vs Daraz: A Price Comparison

Platform Pre-July Price Post-July Price Avg Shipping Time
Temu PKR 400 PKR 1,100 10–20 days
AliExpress PKR 350 PKR 950 15–30 days
Daraz (Local) PKR 600 PKR 600 2–5 days

9. Will Prices Normalize? What to Expect in Coming Months

Experts believe the price surge is a temporary buffer. Once importers, platforms, and the FBR have fully mapped the duties, prices may normalize to a more sustainable 10–20% increase.

Additionally, platforms may absorb some of the cost through:

  • Bulk shipping discounts
  • Optimized logistics
  • New promotional partnerships in Pakistan

10. Tips for Smart Online Shopping in Pakistan

  • Check final cost at checkout: Includes all duties/taxes
  • Compare with local sites: Daraz, PriceOye, OLX
  • Prefer bundles: Multiple items in one shipment to save costs
  • Use debit/credit cards with cashback
  • Watch shipping methods: Choose reliable carriers

11. Conclusion

The 2025 tax reforms in Pakistan have undoubtedly disrupted the e-commerce space. Platforms like Temu and AliExpress now face the challenge of staying competitive while complying with strict regulations. For consumers, it’s a new era of online shopping that demands more awareness and smarter decisions.

As the dust settles, it’s likely that prices will adjust, transparency will improve, and new local players will rise to meet the growing demand. Until then, understanding the rules and adapting purchase behavior is key for every online shopper in Pakistan.

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