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The end of ‘de minimis’ hit Temu and Shein. Now, it’s a problem for Fedex and others.

1. Trump halted the de minimis exemption, complicating U.S. imports and currencies. 2. Lululemon reports higher shipping costs and confusion over tariff changes. 3. Oppenheimer highlights de minimis elimination as a concern for Lululemon's outlook. 4. Retailers may improve shipping efficiency to cope with new costs. 5. Global postal traffic decreased significantly, affecting shipment processes.

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FAQ

Why Bearish?

Higher shipping costs and uncertainties directly affect Lululemon's profitability and customer satisfaction, similar to retail impacts during previous tariff changes which led to lower sales and increased costs.

How important is it?

The article outlines significant regulatory changes impacting shipping costs for Lululemon, which could notably affect market performance.

Why Short Term?

Immediate shipping cost issues will impact quarterly earnings, but long-term adaptation may stabilize operations.

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