Amazon opens 'discount store' to shake off Temu and Shein

Chinese e-commerce giants such as Temu and Shein are growing extremely fast, making competing seem increasingly impossible for some companies. American marketplace Amazon, however, is not yet putting down the hatchet and wants to open a so-called 'discount store' on its website, as reported CNBC.

The new section offers low-priced fashion and lifestyle items, for which many prices would be under 20 dollars. Within this 'discount store', Chinese sellers are given the opportunity to ship directly to American consumers.

Amazon wants to ship the products directly from China to the US, and as such, shoppers will receive the products within nine to 11 days. Amazon already ships products from China, but the products are now sent to warehouses before being delivered to consumers.

According to CNBC, this move is "Amazon's most aggressive attempt" to counter the growing competition from Temu and Shein. The Chinese e-commerce giants have gained a lot of ground in the US in recent years. Americans are said to be particularly attracted by the low prices of clothing, electronics and household items.

It is not yet known when Amazon's 'discount store' will launch in the US. Amazon is expected to start accepting products this autumn.