Skip to main content
BoF Logo

Agenda-setting intelligence, analysis and advice for the global fashion community.

Shein Weighs US Restructuring as Tariff Risks Cloud London IPO

The fast-fashion retailer is considering restructuring US operations amid a US-China trade war, the Financial Times reported.
A phone displaying the download page of a Shein app
Shein ships orders directly from Chinese warehouses to a buyer’s home. (Getty Images)

Fast-fashion retailer Shein is weighing a restructuring of its US operations as US President Donald Trump‘s tariffs on Chinese imports threaten to jeopardise its London IPO, the Financial Times reported on Wednesday.

The US business, which generates roughly one-third of Shein’s $38 billion annual revenue, is expected to face significant pressure as a tax exemption known as “de minimis” is set to end this week, the report said.

De minimis refers to the US waiver of standard customs procedures and tariffs on items worth less than $800 that are shipped to individuals from foreign countries.

One option being considered is shifting production for the US market to countries outside China, the FT reported, citing two people familiar with the matter.

ADVERTISEMENT

Shein, which ships orders directly from Chinese warehouses to a buyer’s home, has not taken a decision on any U.S. restructuring at the board level, the FT said, citing sources familiar with the company’s thinking.

Shein declined to comment to the FT and did not immediately respond to a Reuters request for comment.

Reuters exclusively reported earlier this month that Shein, which sells $10 dresses and $12 jeans in more than 150 countries, had secured approval from Britain’s Financial Conduct Authority (FCA) for its IPO.

By DhanushVignesh Babu; Edited by Savio D’Souza

Learn more:

Chinese E-Commerce Exports Plummet in Face of Tariffs, Despite Rise in Sales to EU

China’s total e-commerce shipping plunged 65 percent by volume in the first three months of the year, but rose 28 percent in Europe.

In This Article
Organisations

© 2025 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

More from Retail
Analysis and advice from the front lines of the retail transformation.

Dairy Boy Brings a Connecticut Farmhouse to Soho

The influencer Paige Lorenze opened her third pop-up in New York City over the weekend, selling fleeces, barn jackets and more to thousands of fans who have bought into her Gen-Z-friendly vision of New England-inspired Americana.


This Week: Off-Price’s Moment to Shine

Rising prices and a gloomy economic outlook are usually good news for discount retailers. The two biggest US players in the space, T.J. Maxx and Ross, report results this week.


view more
Latest News & Analysis
Unrivalled, world class journalism across fashion, luxury and beauty industries.

KKR-Backed Korea Fashion Retailer Musinsa Considering IPO

Musinsa did not disclose IPO details, but local media have reported the Seoul-based company could seek a valuation of about 10 trillion won ($7.2 billion) during the listing, potentially minting a fortune for founder Cho Man-ho.


‘Vibe Marketing’ Is Taking Over Beauty. What Is It?

Generative AI is being adopted across the beauty industry to create everything from product images to formulas themselves, based on prompted “vibes.” As more companies utilise these tools for efficiency, they risk losing the creative touch that separates storytelling from slop.


VIEW MORE

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.
CONNECT WITH US ON