The Chinese government has leverage over the two firms. Although Temu has grown quickly, PDD, its parent company, remains heavily dependent on its Chinese business, Pinduoduo. Shein does not sell its wares in the country, but it does rely on Chinese tech talent for its algorithm.

Steep U.S. tariffs are starting to squeeze the Chinese economy.

Donald Trump is photographed in golf carts as often as in the presidential limo, and its 'Made in America' manufacturing claim relies on a global supply chain.