The new $20 and under Amazon store is here to challenge Shein and Temu

Amazon has launched a store where every product costs $20 or less to take on popular low-cost shopping apps like Temu and Shein. The new Amazon Haul service is available in the US via Amazon’s app or mobile website and offers a wide range of similar fashion, home, lifestyle and electronics products that one would expect to find on competing Chinese platforms.

“It’s important for customers to find great products at very low prices, and we continue to look for ways to work with our channel partners so they can offer products at extremely low prices,” Dharmesh Mehta, vice president of worldwide channel partner services at Amazon, said it in Amazon’s announcement.

Visually, Haul’s storefront has a similar layout to Temu and Shein, with a primary focus on affordable prices and “Crazy Low” banners on item listings. Amazon says most items will be priced at $10 or less, with some listings as low as $1. However, customers are encouraged to stack their baskets because Amazon is offering discounts of five percent on orders of $50 or 10 percent on orders of $75 or more.

Shipping is $3.99 and free on orders over $25, but will take one to two weeks to arrive – which Amazon believes its customers will be okay with if it allows them “Buy products at extremely low prices”. That’s a similar delivery schedule adopted by Temu and Shein, suggesting Haul’s Stock also imports inventory directly from Chinese manufacturers.

Both Temu and Shein face stricter regulations in the EU and US due to risks related to counterfeit goods, illegal products and copyright infringement on their platforms. Amazon attempts to allay consumer concerns in this regard by stating that all products on Haul are checked to ensure they are “safe, authentic, and in compliance with applicable regulations.”