The End of Temu?
Friday, August 29th, 2025
World News — The End of Temu?
The United States has ended its long-standing duty-free exemption for imported packages valued under $800, meaning all small packages from abroad are now subject to tariffs regardless of value. This policy shift, announced by President Donald Trump, aims to close what the administration calls an “abused” loophole that enabled billions of dollars’ worth of goods—especially from Chinese online retailers such as Shein and Temu—to enter the US market without paying duties, and to combat smuggling of goods like fentanyl. The new tariffs, which took effect Friday, have caused some foreign postal agencies, including those in Germany and Singapore, to suspend shipments to the US due to uncertainty about how duties will be collected, while US officials say they are collaborating with global partners to minimize disruptions and ensure proper monitoring of international mail.
Tech — The Physical Limitation to Nvidia’s Parabolic Growth
Nvidia’s explosive growth, driven by soaring demand for its advanced AI chips like the Blackwell GPUs, is on a collision course with America’s outdated and increasingly stretched power grid. As each chip generation becomes vastly more energy-intensive—increasing total US power demand by up to 25 gigawatts if installation trends continue—there’s a real risk that electricity supply limitations could curtail future chip sales or render vast amounts of high-end hardware idle, jeopardizing not only Nvidia’s prospects but also the returns of tech giants like Alphabet and Microsoft that invest heavily in AI infrastructure. While utilities and data-center operators are ramping up investments in generation and alternative energy, progress is slow, and the shortfall in power availability could severely undermine the optimism surrounding Nvidia and the broader AI industry if left unresolved.
Business — Fighting For Mall Space Against Canadian Pension Plans
Ruby Liu, a real estate entrepreneur with a track record in China and British Columbia, is locked in a high-stakes legal battle with some of Canada’s biggest pension funds over her C$450 million plan to acquire the leases of 25 shuttered Hudson’s Bay department store locations and launch a new retail chain under her own name. The pension funds, who own many of the shopping centers where these stores are located, strongly oppose Liu’s bid, citing her lack of a detailed business plan, what they see as unrealistic projections, and stated intentions for unconventional changes to the stores, such as introducing playgrounds or “mall within a mall” concepts, all of which have eroded their trust. Liu argues the real motive behind the opposition is the landlords’ desire to redevelop the valuable real estate for residential or mixed-use projects instead of department stores, while the monitor overseeing Hudson’s Bay’s bankruptcy process has recommended against her bid due to her limited direct retail experience, leaving the final decision to the court.
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