In a surprising move, Temu has significantly increased its prices in Pakistan, leaving budget shoppers upset and frustrated. Once known for offering extremely affordable products, the e-commerce platform is now being criticized for price hikes that some say range between 200% to 300%.
The sharp rise in prices follows new tax measures introduced in Pakistan’s 2025–26 federal budget. These include the Digital Presence Proceeds Tax Act, which imposes a 5% tax on revenue generated by foreign e-commerce platforms like Temu, AliExpress, and Amazon—even if they don’t have a physical presence in Pakistan.
An additional 18% General Sales Tax (GST) has also been added to online shopping. This move brings foreign platforms under the same tax rules as local businesses. Moreover, shipping costs have gone up due to restrictions on cheaper delivery options from China. As a result, companies like Temu now depend on more expensive couriers such as DHL.
Temu, which had built a strong customer base in Pakistan by offering low-cost goods, has adjusted its prices to cover these extra costs. The company is also trying to manage potential customs duties and uncertainties in the new tax system. Industry experts believe this change may be temporary, but for now, Temu’s affordable image has taken a serious hit.
On social media, the backlash has been immediate. Users on X (formerly Twitter) have expressed their anger and disappointment, blaming both Temu and the government. Many say the new taxes make online shopping unaffordable for middle- and lower-income households.
One viral post summed up the sentiment: “We can’t afford Temu, AliExpress, or Daraz anymore. Back to Landa Bazaar!”
As the debate continues, the future of affordable e-commerce in Pakistan looks uncertain. For many, Temu’s price surge feels like the end of an era.
Read how the 2025–26 budget brings added costs for petrol and diesel car buyers — Click here for full details on the new vehicle tax changes
