US Shopper Retreat From Temu, Shein Boosts Macy’s, Kohl’s, Gap

US department stores and discount chains are benefiting as consumers pull back from Chinese marketplaces Temu and Shein, which have watched their momentum crater since the US closed a tariff loophole that had helped them flourish.

Consumer Edge Research examined spending data from shoppers who made at least two purchases from Shein and Temu in the first two months of 2025 and then ordered nothing from the sites in March and April. The New York firm determined that the shoppers shifted an “outsized” amount of spending to department stores like Macy’s Inc.-owned Bloomingdale’s and Kohl’s Corp., as well as discount apparel shops like Gap Inc.’s Old Navy. Consumer Edge Research mines data from millions of credit- and debit-card transactions.