India’s clothes, China’s company! how Mukesh Ambani, Isha Ambani’s Reliance planning BIG game, will sell ‘made in India’ products in…

Shein’s expansion in India will bring a major shift in the Indian clothing business industry.

Shein started in China but now has its headquarters in Singapore. Due to the ongoing trade war between the US and China, many global companies are revising their strategies.

According to a Reuters report, Reliance Retail and e-commerce company Shein are going to boost clothing production in India. They also have a plan to sell Shein-branded clothes which are made in India to sell in the world. This initiative will start in the next 6 to 12 months.

Shein, an e-commerce giant was launched in China but later moved its headquarters to Singapore. When the US imposed tariffs on goods imported from China, Shein approached Reliance Retail for collaboration. 

Shein is now considering getting goods from multiple countries and plans to expand its supplier base in India. Currently, Shein has 150 suppliers, which it plans to increase to 1,000 by next year. Shein is known for selling cheaper clothing, like dresses for $5 and jeans for $10. These products are shipped directly from its 7,000 Chinese suppliers to 150 countries. The US is Shein’s largest market, but after the imposition of new tariffs on low-cost Chinese goods Shein will increase its production in India.

Shein’s Business

Shein began operations in India in 2018 but was banned in 2020 after border disputes between India and China. The Indian government had restricted several Chinese companies like Shein. However, Shein re-entered India this year by partnering with Reliance Industries. It has then launched a website, ShienIndia.in, to sell India-made Shein-branded clothing. Shein’s other global websites mainly feature Chinese-made products, but in India they focus on locally produced garments.

Reliance currently has contracts with 150 manufacturers and is in talks with 400 more companies. It plans to have 1,000 Indian factories producing garments for Shein within the next 12 months. These clothes will be sold in India as well as globally through Shein’s website. According to a report, Shein will initially sell India-made garments on its websites in the US and UK. In a statement, Shein mentioned that it has licensed its brand to Reliance in India, which will handle clothing production, supply, sales, and operations in the country.

Shein is a major fast-fashion company with annual revenues exceeding $30 billion. The brand attracts customers with its low prices and marketing strategies. While China remains Shein’s largest production hub, it also manufactures garments in countries like Turkey and Brazil.