U.S. Consumers Flock to Thrifting Apps Amid 145% Tariff on Chinese Goods in 2025

US • Business • 04/23 16:30
U.S. Consumers Flock to Thrifting Apps Amid 145% Tariff on Chinese Goods in 2025

In early 2025, the U.S. imposed a 145% tariff on Chinese imports, including clothing and furniture, and removed the de minimis tax exemption. This led to price hikes from platforms like Shein and Temu. As a result, American consumers are increasingly using secondhand apps such as Depop, Poshmark, and ThredUp, which saw an 18% rise in downloads. These platforms offer a cost-effective alternative amid rising costs, with Depop experiencing a 68% increase in downloads. The resale market is expected to grow significantly, driven by these economic changes.

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04/23 16:30

U.S. Consumers Flock to Thrifting Apps Amid 145% Tariff on Chinese Goods in 2025

In early 2025, the U.S. imposed a 145% tariff on Chinese imports, including clothing and furniture, and removed the de minimis tax exemption. This led to price hikes from platforms like Shein and Temu. As a result, American consumers are increasingly using secondhand apps such as Depop, Poshmark, and ThredUp, which saw an 18% rise in downloads. These platforms offer a cost-effective alternative amid rising costs, with Depop experiencing a 68% increase in downloads. The resale market is expected to grow significantly, driven by these economic changes.

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Tariffs Trigger a Shift in Shopping Habits

Earlier this month, the Trump administration imposed a sweeping 145% tariff on most Chinese imports, including apparel, footwear, and furniture. The move also eliminated the de minimis provision, which had previously allowed goods valued under $800 to enter the U.S. duty-free. As a result, major Chinese e-commerce platforms like Shein and Temu announced price hikes for U.S. customers starting April 25, citing increased operating costs and the end of the tax exemption on May 2.

The impact on consumer prices is already being felt. According to a Forbes report, a $50 pair of imported shoes now costs $60 post-tariff, and households could face up to $3,800 in additional annual expenses if the tariffs remain in place. Even budget furniture brands are expected to raise prices due to increased shipping and raw material costs, as noted by New York Magazine.

Thrifting Apps See Record Growth

In response to these rising costs, Americans are flocking to secondhand platforms. According to data from Sensor Tower, downloads of thrifting and resale apps in the U.S. jumped 18% in the first quarter of 2025 compared to the previous quarter. Depop led the surge with a 68% increase in downloads, followed by Poshmark at 28% and eBay at 15%, as reported by The Washington Post.

These platforms allow users to buy and sell used clothing, shoes, and accessories directly from individuals or small businesses. Items range from gently used to brand-new with tags, and many shoppers are now turning to these apps not just for style, but for savings.

Sabrina Modelle, a clothing reseller in Northern California, said she’s noticed a spike in demand on ThredUp, where she often shops for discounted fashion. “Since the tariffs got announced, things have been crazy,” she told the Post. Even her local Goodwill store has seen an influx of new shoppers.

Bargain Hunting Goes Digital

The appeal of thrifting apps lies in their accessibility and affordability. Poshmark, for example, offers over 200 million items across 5,000 brands, including clothing, home decor, and pet accessories, according to Sustainable Jungle. Depop, which blends social media with resale, has become especially popular among younger consumers looking for unique or vintage pieces.

Alon Rotem, chief strategy officer at ThredUp, said the tariffs are changing how Americans think about shopping. “All the clothing that was imported the first time it was purchased, it’s now sitting in consumers’ closets. And American consumers are sending it into ThredUp,” he explained.

Manish Chandra, CEO of Poshmark, echoed this sentiment, calling secondhand marketplaces an “increasingly valuable and cost-effective resource” for U.S. shoppers.

Price Pressures Hit Fast Fashion and Furniture

The price hikes are not limited to clothing. Furniture, which is often bulky and expensive to ship, is also seeing cost increases. Even domestically produced items are affected due to tariffs on raw materials like thread, zippers, and packaging components, according to New York Magazine.

Temu and Shein, two of the most popular Chinese e-commerce platforms in the U.S., have confirmed they will raise prices starting April 25. Both companies cited the 145% tariff and the end of the de minimis exemption as key factors, as reported by SAN News. DHL Express, a major delivery service, has also suspended shipments over $800 to the U.S. due to the new trade rules.

Resale Market Poised for Continued Growth

The secondhand market has been expanding rapidly even before the latest tariff changes. According to Sustainable Jungle, the global market value of secondhand and resale apparel is projected to grow by $100 billion between 2025 and 2029—a 139% increase.

Retail analysts suggest that tariffs could accelerate this trend. Kassi Socha, a retail analyst at Gartner, said, “I think tariffs have the potential for an outsize consumer behavior change that could exceed what we’ve seen in some recent years.”

Consumers like Lindsay Farbent, a lawyer in Connecticut, are already adjusting their habits. After learning about the tariffs, she downloaded Grailed and The RealReal to shop for used fashion. “It feels like this is not the time to be buying new stuff anymore,” she said.

Resellers Brace for Demand—and Higher Prices

While the surge in interest is good news for resale platforms, it may also lead to higher prices in the secondhand market. Some sellers have already begun rolling back discounts as items sell faster. “Even the Goodwill store in my neighborhood seemed packed with shoppers I’d never seen before,” said Modelle.

Lauren Cooley, founder of Club Preloved, a network of small resellers, said she’s seeing a wave of new customers. However, she cautioned that increased demand could eventually push prices up, making thrifting less accessible for some shoppers.

Chinese Shopping Apps Also Climb the Charts

Interestingly, while American consumers are turning to secondhand platforms, Chinese shopping apps like Alibaba.com, DHgate, Shein, and Temu have also seen a spike in downloads. According to South China Morning Post, Alibaba.com climbed from 18th to 3rd place in the U.S. iOS shopping app rankings in just one month. The surge is attributed to bargain-hunting behavior ahead of anticipated price increases.

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