Chinese low-price online retailer Pinduoduo, known for its Temu app and a key competitor to Alibaba, reported a significant increase in its net profit for 2023. The Shanghai-based company, which has focused on offering affordable products since its establishment in China in 2015, saw its net profit surge by 90 percent year-on-year to 60 billion yuan (8.3 billion dollars).
Pinduoduo has emerged as a formidable rival to Alibaba, with its popular Temu app gaining traction. However, the app has faced scrutiny in various countries, including France. The French National Assembly recently approved measures targeting low-cost fast fashion brands, such as imposing a ban on advertising for the cheapest textiles and introducing an environmental charge on inexpensive items. Temu's competitor Shein was specifically highlighted for its intensive fashion production practices.
