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You supply products at a wholesale price to a Temu-operated warehouse in China. Temu owns pricing, listing, marketing, shipping, and customer service. You are effectively a supplier, not a retailer.
Aimed at overseas sellers with existing inventory and logistics. You set pricing and handle shipping; Temu provides the storefront and traffic.
| Factor | Full-managed | Semi-managed |
|---|---|---|
| Who sets price | Temu | Seller |
| Logistics | Temu handles | Seller handles |
| Inventory location | China warehouse | Seller's warehouse / 3PL |
| Typical margin | 5-15% | 15-40% |
| Best for | Factories, low-cost suppliers | Established ecommerce sellers |
Fee structures changed several times as Temu expanded internationally, so always verify against your merchant agreement.
Sources: 2026 Temu seller fee breakdowns — OneCart, AMZ Prep (semi-managed 8–15% by category; consignment/full-managed carries no explicit commission — 2–5% effective). Temu publishes no public rate card; rates vary by market and category. Typical 2026 structure for semi-managed:
| Fee | Typical amount | Notes |
|---|---|---|
| Merchant deposit | $500 - $5,000 (by category) | Refundable; covers returns and penalties |
| Commission | 8% - 15% per sale | Category dependent (most categories 8-12%) |
| Payment processing | Included in commission | Varies by country |
| Shipping | Seller's cost (semi-managed) | Negotiate carrier rates |
| Advertising | Optional / auction-based | Far lower CPC than Amazon |
Customs is one of the biggest hidden costs for cross-border Temu sellers, especially in the EU — and in 2026 the EU rewrote the rules for low-value parcels. Here is what you need to know:
| Scenario | Customs Duty | VAT | Notes |
|---|---|---|---|
| Sell from EU warehouse (no import) | None | Local VAT (19-27%) | Best option for EU sellers; goods already in the single market |
| Import from China to EU | 0-17% (HS code dependent), plus the 2026 low-value rules below | 19-27% on import value + duty | Need an EORI number; consider a customs broker |
| Full-managed (Temu handles) | Temu manages export | Seller responsible for EU import VAT | Even in full-managed, EU import VAT falls on you |
If you ship parcels to EU consumers, four changes now matter more than the HS-code rate itself:
| Change | Applies from | What it means for you |
|---|---|---|
| €150 duty relief removed | 1 July 2026 | Parcels valued at or below €150 no longer enter duty-free. Customs duty is charged from the first euro of consignment value. |
| €3 transitional flat duty | 1 July 2026 | A €3 temporary customs duty applies per item (each item classified under its own tariff heading — not per parcel, and not per unit) in consignments up to €150, regardless of which VAT scheme you use. The temporary rate runs until 1 July 2028, after which normal tariffs apply. |
| EU-wide handling fee | no later than 1 Nov 2026 | A separate EU handling fee (a processing charge, not a customs duty) is planned on small consignments from no later than 1 November 2026; its amount and exact date were still to be determined by the Commission as of the official guidance published on 8 June 2026, so treat any third-party figure as provisional. |
| Product Identifiers (PIDs) | mandatory 1 Nov 2026 | PIDs become mandatory on customs declarations to improve traceability and safety checks. They can be declared voluntarily from 1 July 2026. |
| Dimension | Amazon | Temu |
|---|---|---|
| Monthly subscription | $39.99 (Professional) | None (full-managed) |
| Referral/commission | 8-15% | 8-15% + deposit |
| Fulfillment | FBA required for Prime | Seller-managed (semi) |
| Search demand | Very high | High but impulse-driven |
| Brand control | Strong (Brand Registry) | Weak |
| Customer loyalty | Prime repeat buyers | Price-sensitive, low loyalty |
| Ad cost | High CPC | Low CPC |
Decision rule: run Amazon as your profit and brand channel; use Temu semi-managed to move excess inventory at marginal cost and reach price-sensitive demographics. Products with COGS < $15 and visual appeal (home, apparel, gadgets) tend to do best on Temu.
A quick margin check for a $20 product on Temu semi-managed:
| Line item | Amount |
|---|---|
| Sale price | $20.00 |
| COGS | $6.00 |
| Commission (10%) | $2.00 |
| Shipping (avg) | $3.20 |
| Returns/buffer (3%) | $0.60 |
| Net margin | $8.20 (41%) |
That is competitive with Amazon after FBA fees, with far less ad pressure — which is exactly why multi-channel sellers are expanding into Temu in 2026.
Primary sources: European Commission (Directorate-General for Taxation and Customs Union) on VAT e-commerce and low-value consignments; the EU VAT One Stop Shop / IOSS guidance; Temu Seller Center merchant documentation.
Reference links:
• European Commission — New approach to VAT for e-commerce imports
• European Commission — Customs formalities for low value consignments
• Your Europe — EU VAT One Stop Shop (OSS) and IOSS
• Temu Seller Center
• Amazon — Sell on Amazon (basis for the Amazon vs Temu comparison)
Disclaimer: Fee percentages and customs rules change frequently — the EU low-value parcel regime in particular is still transitioning. Verify current figures against your own Temu merchant agreement and the official sources above before committing inventory. This guide is not legal or tax advice.
Section 6 shows how thin the margin gets once freight and returns are priced in. That arithmetic is only as good as the weights and dimensions you feed it — these are the basics cross-border sellers keep at the packing bench:
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