BEIJING, July 11 — Fashion giant Shein has won approval from China’s market watchdog for its initial public offering application in Hong Kong, the China Securities Regulatory Commission said on Friday.
The CSRC approved Shein’s plan to sell up to 341.6 million shares and list on the Hong Kong stock exchange.
Plans to list the company in New York and London had been stalled in recent years due to regulatory hurdles, according to media reports.
Shein’s huge selection of trendy products at eye-catching low prices has helped propel the company into the same league as Amazon in the US, alongside Chinese rivals such as Temu and AliExpress.
Founded in 2012 by Chinese-born entrepreneur Xu Yangtian, Shein moved its base to Singapore in 2021 and now sells fashion items in more than 150 countries.
With most of its factories located in China, Shein has built its reputation around rapid product design and an efficient supply and production network that sets it apart from traditional fast fashion rivals.
Xu pledged earlier this year to invest more resources in southern China’s Guangdong province, tapping its garment manufacturing ecosystem and international logistics links.
He said the Chinese Communist Party and the provincial government had provided key support for Shein’s growth.
Shein’s platform exports exceeded 100 billion yuan (US$14.5 billion (RM61.7 billion)) in 2025.
‘Selective reopening’
Beijing’s approval shows that “China is still supporting Hong Kong as a major offshore capital raising platform”, Kelvin Lam, a China-focused economist at Pantheon Macroeconomics, told AFP.
The US regulatory block on Shein’s New York listing bid, which cited supply chain concerns, highlighted the geopolitical risks of overseas listings, Lam said, adding that the company “has been undergoing a lot of problems with listing” in the UK.
With the approval, China “removes a long-time and major political uncertainty for Shein”, Han Lin, China director for consultancy firm The Asia Group, told AFP.
“Beijing is signaling selective reopening, not deregulation — rewarding companies that strengthen China’s economy while remaining aligned with national security and regulatory priorities,” he added.
The online fashion platform has faced years of scrutiny over its environmental impact and allegations of human rights violations, although its executive chairman told AFP last year that the company had “zero tolerance” for forced labour.
Shein also faced criticism in France last year after childlike sex dolls were found on its platform.
In June, French authorities imposed two fines on Shein totalling more than €22 million (US$25.1 million; RM106.8 million), citing issues involving product traceability, environmental labelling and delivery times. — AFP
Date: 11 July, 2026 11:00 am
Source: Malay Mail
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