Reliance Retail has inked a deal that will bring Shein, the globally recognised Chinese fashion brand, back into the Indian market. This move comes over two years after Shein’s mobile app was halted from operations by the Indian government amid heightened border tensions.
Shein, which stands as one of the world’s major fashion retailers, is not just planning to re-enter the Indian market but is also speculated to source from India for its international operations. This strategic decision comes as Shein faces mounting scrutiny in the United States.
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Reliance Retail sees a unique opportunity in Shein’s brand ethos, which revolves around providing trendy and affordable clothing. This strategy aligns well with Reliance’s own retail approach, reflected in its Reliance Trends chain that offers budget-friendly fashion.
Before Shein’s app was banned in 2020, it had gained a considerable market share in India by offering the latest fashion trends at pocket-friendly prices. Despite facing challenges, Shein continues to remain a key player in the fashion retail space, having recently raised $2 billion in its latest funding round, as reported by the Wall Street Journal.
Shein’s entry will add a significant boost to Reliance’s fast-fashion segment, extending its reach across both brick-and-mortar stores and digital platforms, according to an executive privy to the deal.
This news is based on information provided by Asia Business Outlook.
