Temu has introduced a significant update for customers in South Africa by including VAT and applicable import duties directly in the checkout total.
The move simplifies the shopping experience by allowing consumers to pay the full cost upfront instead of settling a separate customs bill after dispatch.
Previously, South African shoppers often received a tax payment link from the courier shortly after their parcels left China.
While this system helped speed up customs clearance, it was frequently criticised for being inconvenient and potentially exposing customers to scam links.
By shifting the tax calculation to checkout, Temu is making pricing clearer and reducing uncertainty for buyers.
More transparent pricing for customers
The change brings Temu’s South African checkout process closer to the long-established model used by Amazon for international imports.
Under Amazon’s system, estimated import duties and VAT are collected during checkout.
If the actual customs charges are lower, customers receive an automatic refund, while any additional costs are absorbed by the company.
South African shoppers have already begun noticing the update.
Some users reported that recently delivered parcels arrived without any follow-up customs payment request.
Others said item prices appeared to increase by around 15% to 20%, reflecting the inclusion of duties and VAT in the displayed total.
Temu has clarified that this does not increase the total amount paid overall.
Instead, the tax that was previously collected later is now simply included upfront at checkout.
The company said this system has been in effect for South African import orders since 20 March.
Change comes as SARS tightens import rules
The timing is particularly significant given recent moves by the South African Revenue Service (SARS) to tighten rules around low-value imports.
For years, international e-commerce platforms benefited from a concession that allowed parcels under R500 to be taxed at a flat 20% duty rate, with VAT exemptions previously applying in certain cases.
This created a pricing advantage over local retailers and manufacturers, especially in categories such as clothing and textiles.
In response to industry complaints, SARS has been steadily tightening these rules.
Standard clothing imports can attract duties of around 45%, in addition to 15% VAT, making compliance increasingly important for global online marketplaces.
Analysts believe Temu’s decision to integrate tax calculation directly into checkout is aimed at improving compliance while also enhancing customer trust.
The new system also improves the refund process.
Customers returning faulty goods can now receive a full refund that includes duties and VAT, removing one of the major frustrations previously associated with cross-border shopping.
As South Africa’s e-commerce import rules continue evolving, platforms that offer price certainty at checkout may gain a competitive edge.
Source: MyBroadband / SARS / Temu
