Capital Economy, Business and Finance
CEOs including Mark Zuckerberg and Elon Musk have focused time and money on currying favour with the Trump administration, but the advertising revenues of both Meta and X are being burned by tariffs placed on China.
Temu was a big spender in the US online ad market, but has been hit by Trump’s decision to raise duties on imports of less than $800 from China.
These threaten Temu’s bread-and-butter business, which has forced the retail giant to change tack and spend less targeting American customers online.
In the first half of April, the company slashed its ad spend across Meta, X and YouTube by an average of 31 per cent.
Temu was X’s top advertiser in 2024, and at its peak was estimated to be spending $1.2 billion a year on Meta ads.
