PDD's Trading Volume Soars to 25.82 Billion, Ranking 38th Amid Stock Price Decline

On April 4, 2025, PDD's trading volume reached 25.82 billion, marking a 93.68% increase from the previous day, ranking 38th in the day's stock market activity. However, PDD's stock price fell by 8.32%, marking the third consecutive day of decline, with a total decrease of 14.71% over the past three days.

PDD Holdings, the parent company of the online marketplace Temu, experienced a decline in its stock price due to escalating tariffs between the U.S. and China. The Trump administration's decision to eliminate the de minimis provision for low-value parcels from China, effective May 2, poses significant challenges for PDD. This provision previously allowed companies to avoid import taxes and customs inspections on international shipments valued at $800 or less, benefiting PDD's duty-free shipping model.

The escalating tariffs between the U.S. and China have raised concerns about increased prices and potential reductions in consumer demand for PDD's low-cost goods. The company, which also owns Pinduoduo, one of China's leading retailers, will need to navigate these challenges to maintain its competitive edge in the market. The tariff situation has escalated rapidly, with the base tariff rate on Chinese imports reaching 54% after April 9, and China retaliating with an additional 34% tariff on all U.S. goods, effective April 10.