The º£½ÇÊÓƵ branch of Chinese online marketplace, Temu, has seen its sales and profit nearly double in the most recent financial year.
In 2024, the division reported a revenue of $63.2m (£46.3m), a significant increase from the $32.1m it achieved in 2023 as reported by .
Newly filed accounts at Companies House reveal that its pre-tax profit leapt from $2m to $3.9m over the same one-year period.
These results for Temu's º£½ÇÊÓƵ arm precede a trial set to take place at London's High Court between the company and online fast-fashion behemoth Shein, scheduled for 2026.
This legal battle follows mutual allegations of copyright infringement and anti-competitive behaviour exchanged in competing lawsuits.
In 2023, Shein initiated a lawsuit against Temu in the º£½ÇÊÓƵ, accusing Whaleco º£½ÇÊÓƵ of copyright breach concerning photos of certain products available on the Temu platform.
Whaleco º£½ÇÊÓƵ is ultimately under the ownership of Temu's parent company, PDD Holdings.
However, Temu retaliated with a counterclaim in February 2024, alleging that Shein violated British competition law by trying to bind suppliers of fast-fashion products to exclusive agreements.
Temu stated that the claim – which Shein refutes – values it at £4.2m.
A preliminary hearing took place in November 2024, while the cases are anticipated to reach trial at the High Court towards the end of 2026.
Rivals lobby for Temu tax hole to be closed
The figures for Temu's º£½ÇÊÓƵ division emerge after the chief executive of Zara's parent company urged in May for an American-style clampdown on small goods shipments in Europe to "level the playing field" between Chinese and European businesses.
Shein and Temu have significantly disrupted the global fashion marketplace over recent years, mounting pressure on established retailers.
A key factor in their rapid ascent has been exploiting a tax exemption known as 'de minimis', which permits packages containing small items to be imported without customs duties.
Over 30 per cent of shipments to America utilising the 'de minimis' provision last year originated from Shein and Temu.
Speaking to BBC News at the time, Oscar Garcia Maceira said: "What we have been asking for is a level playing field... in order to have the same set of rules for any single for any single competitors."
On 2 April, Trump eliminated the exemption for goods shipped directly from China and Hong Kong, whilst the º£½ÇÊÓƵ has placed the policy under examination.
George Weston, chief executive of Primark's parent company Associated British Foods, has similarly stated that closing the exemption would represent a "positive step" for British enterprises.
Sainsbury's chief executive Simon Roberts has likewise called upon the º£½ÇÊÓƵ government to shut the loophole at the earliest opportunity to prevent the risk of inferior quality products being redirected from the United States to Europe following President Donald Trump's tariffs. Currys CEO, Alex Baldock, revealed to the Financial Times that there were already indications of "stock being diverted into European markets in a straightforward dumping way."
