Shein aims to sell India-made clothes abroad

MUMBAI/LONDON, June 10 (Reuters): Fashion retailer Shein and partner Reliance Retail plan to rapidly expand their Indian supplier base and start international sales of India-made Shein-branded clothes within six to 12 months, said two people with knowledge of the matter.
The China-founded, Singapore-headquartered Shein has been discussing plans with the Indian retailer since before the US imposed tariffs on Chinese imports that intensified the need to diversify sourcing, the people said. The aim is to raise Indian suppliers to 1,000 from 150 within a year, they said.
In a statement to Reuters, Shein said its partnership with Reliance was limited to the licensing of its brand to Reliance Retail for Indian domestic consumption only. Reliance did not respond to queries.
Shein sells low-priced apparel such as $5 dresses and $10 jeans shipped directly from 7,000 suppliers in China to customers in around 150 countries. Its biggest market is the US where it is adjusting to tariffs on low-value e-commerce packages from China which could previously be imported duty free.
The retailer launched in India in 2018 but its app was banned in 2020 as part of government action against China-linked firms amid border tension with its northeastern neighbour.
It returned in February under a licensing deal with the Reliance Industries unit which launched SheinIndia.in selling Shein-branded clothes produced in local factories. In contrast, Shein's other websites mainly list goods from China.
Reliance, controlled by Asia's richest person, Mukesh Ambani, has contracted 150 garment manufacturers and is in discussion with 400 more, said the two people, declining to be identified due to confidentiality concerns.
The goal is 1,000 Indian factories making Shein-branded clothes within a year for both the Indian market and to service some of Shein's global websites, the people said.