Editors of major media outlets confronted Shein with the results of Public Eye's research and received the following response: SHEIN has no comment at this time as we await a copy of the report and an opportunity to review. Now, Shein has developed its supply chain systems. And it is not a failing strategy as you should know that the Shein app ranks in the top 5 positions in over 10 markets and has more than 250 million followers across all social media channels. [4] The company has established its supply chain in Guangzhou with a network of more than 3,000 suppliers as of 2022. 200 in-house designers of more than 7,000 employees, 25 day turnaround time for a piece of clothing. [46] Later, it was established that the company lied about the number of compromised accounts and that it was 39 million users that had not only their passwords and usernames stolen but also the information about their credit cards. Are you looking for long term sponsorship? they ask. Today, its revenues exceed $24 billion, making it the worlds biggest fashion retailer. Another friend tells me how she recalls buying a pair of striped trousers one summer; "When my packaged first arrived, I thought I had accidentally bought from a fraudulent duplicate website. Shein has gotten popular over a short period of time and is the number one brand in the world for fast fashion. In 2014, Shein started developing its supply chain system, shifting towards a fully integrated retailer. SheIn clothing is a fast fashion company, meaning they create additional and unnecessary waste by producing trendy clothing en masse. It was created back in 2008 by Chris Xu when it was originally called Sheinside (via Pitchbook). Shein insists that its method of producing clothes in small batches is more efficient and that little goes to waste. [9], Amid the COVID-19 pandemic in 2020, it reportedly made $10 billion in revenue, making it the seventh consecutive year of more than 100% sales growth for the company. They are based in Singapore and Boston, respectively. [28] Shein notified Marketplace that they would stop selling the two items and would stop getting supplies from the corresponding suppliers until the problem was addressed. As of 2023, Shein has tied up with factories in Bangladesh and Sri Lanka to produce clothes such as jeans and dresses. This is a key factor in traceability and transparency, two values SHEIN does not have. Shein said: "Upon learning of the report, we immediately requested a copy and when we receive and review the report, we will initiate an investigation. He has good research skills, and thats why you can see why his articles are packed with info that is factual and not readily available. Weird, as I dont usually browse on fast fashion sites, but this time they found me, through the beauty of targeted Facebook ads. We want to make it very clear that we take supply chain matters seriously. The root cause is the suppliers themselves. Public Eye's researchers visited 17 factories supplying Shein and its parent company Zoetop, near the Shein headquarters in Guangzhou. Furthermore, Shein asks suppliers to comply with local laws and the companys code which are per International Labor Organisation (ILO). It primarily sells womens clothing, accessories, and shoes, but does also cater to children and men. So if 100 percentage of Shein's products is made in China and Shein's products using cotton, of course, now there's a legitimate concern about whether Shein's products, you know, involve forced labor. [16] With more spending, customers can be rewarded with more discounts, which are encouraged to be applied to their next shopping trip. SHEIN is a global fashion and lifestyle e-retailer committed to making the beauty of fashion accessible to all. The pattern on the waistband was so ill-aligned, it looked like an outfit of two parts, she describes. If non-compliance is identified we will take immediate action," the spokesperson said. In some severe cases like underage labor, the termination happens immediately. Besides the seemingly low quality and virgin oil-based textiles used - everything is made with polyester, nylon and other synthetic fabrics - the main question is, who is making Shein clothing and how much are they paid? [34] Following the report, a coalition of U.S. senators wrote to Shein to demand information about the potential use of forced labour in Xinjiang for cotton products. The 'paid per item' model is also referred to as the 'per-piece pay rate'. The authoritative record of NPRs programming is the audio record. One is located in Sri Lanka whereas the other is in Bangladesh which just so happens to be the second largest producer of clothes for big brands such as GAP, Calvin Klein, Armani, Ralph Lauren and H&M like after China. Shein claims that they are doing its best to reduce production waste, and knowing its abounding supply of clothes, they attempt to sell the unsold or returned items at the wholesale price before it can donate them to people in need. [27], Shein has also cited in a Marketplace investigation overseen by professor Miriam Diamond at the University of Toronto for selling toddlers' jackets that contained almost 20 times the amount of lead permitted under Health Canada's safety regulations. If you are here, then you are probably interested to know more about who we are and what we do at Best Chinese. So if 100 percentage of Shein's products is made in China and Shein's products using cotton, of course, now there's a legitimate concern about whether Shein's products, you know, involve forced labor. Petsch recently shared a beautifully shot video in which she is pictured walking around a luxurious countryside estate wearing a series of Shein summer looks. LU: You know, China these days actually is not regarded as a cheap place to make clothing. Colleagues and friends had warned me, You wont receive all your orders at once, and some of the packages may get lost in the mail. Apparently its common knowledge that buying from online retailer Shein is always a gamble. WebAbout Us. Since nearly all of Sheins suppliers are based in China, its easier to get in touch with them by attending trade shows, checking on social media, and through old school online research. Two China-based retail platforms, SHEIN and Temu, are getting a huge These manufacturers are an integral part fo Sheins supply chain and they produce clothes and accessories in bulk based on the designs and schematics provided by Sheins design team. [16], For user growth, the company offers relatively low prices to stimulate demand. In November 2021, a new report emerged with some shocking facts about the work culture in Shein's Chinese factories. [4] Beginning in 2012, Shein began to establish its own supply chain system, transforming itself into a fully integrated retailer. Mr Hachfeld, who is also the director of the Clean Clothes Campaign in Switzerland, suggested that the long hours observed were "directly linked" to the piece-rate system, which is widespread in China. Shein is winning over young shoppers in the US, UK, Europe and Australia by producing fast fashion even faster, and often at cheaper prices, than its rivals Boohoo or Asos. To examine supply chain limitations, Rest of World spoke with manufacturers in China, including a supplier for Shein and the head of the largest organization of Amazon manufacturers in the industrial province of Fujian, visited a clothing market in Nigeria, and tracked Shein returns from the U.S. Sheins founder, Chris Xu, brought the brand to life in Nanjung, China. The firm's name changed again in 2015 from Sheinside to Shein, claiming that it needed a name that was simpler to remember and easy to find online. Sheng Lu is an associate professor of fashion and apparel studies at the University of Delaware, and he joins us now. RASCOE: So the U.S.-China Economic and Security Review Commission issued a report earlier this month naming Shein and another online retailer, Temu, which is now based in Boston and is one of the most downloaded apps in the U.S., as - you know, both companies as raising some security concerns. A review of the exploitative online fashion giant, based in China, from the perspective of a slow-fashion writer. By 2016 the company had 100 employees and had already established its headquarters in Guangzhou. Public Eye suggests the fact that workers, mainly migrants, are paid per item of clothing encourages them to work long hours. 20082012: Foundation and early business model, 20122019: Rebranding and integrated retailer status, 2020present: Pandemic growth and rise to prominence, Expansion in North America and potential NYSE debut, Design theft accusations by artists and retailers, Qingdao University of Science and Technology, International Organization for Standardization (ISO), Ministry of Electronics and Information Technology, "Fast-Fashion Juggernaut Shein's Sales Close In on Zara, H&M", "Shein Valued at $100 Billion in Funding Round", "Shein is the future of fast fashion. According to several reports like one from the guardian and Euronews shows us that Shein is producing about 700 to 1000 new styles per day, where the initial launch for each style is with 50-100 products, if the style shows popularity then, mass production comes into play. Just 6% of Shein's inventory remains in stock for more than 90 days. She said: "Big brands say they check their suppliers but so much of this is farmed out to cheaper factories, meaning there is a widespread lack of transparency behind industry standards. They specialize in blazers, womens sweaters, coats and other knitted wear. And if we buy that message, we are buying into a very ugly side of fashion.". Read more about the secretive fashion firm that's taken over TikTok. UNIDENTIFIED PERSON #2: Because I really, really love this top. To make a profit, you know, they're sourced from a relatively more expensive places. Manufacturers and suppliers must be willing to adhere to a strict turnaround time of 10 days and to deliver high quality apparel and accessories at cheap rates and only if they can deliver, will there be a partnership between the two. But in my view, thats where Sheins clothing belongs: in the bin. Designing clothes is widespread. However, as we mentioned before, Shein outsources their manufacturing. The website SheInside.com was registered in March 2011, advertising itself as "a worldwide leading wedding dress company", although it sold general womenswear as well. Sheins headquarters is based in China, but they have a number of offices and fulfillment centers in different parts of the world. RASCOE: But nothing ruins a haul video more than mentions of worker abuse, environmental waste, and maybe even threats to data security. These manufacturing facilities will be a part of the Shein Global network and serve countries worldwide. Why? But Shein has an advantage over Western competitors; while many brands, including Boohoo, use suppliers in China, Sheins own geographical and cultural proximity allows it to be extra nimble. They have clearly stated that they distance themselves from practices like child labor and from we can tell, there has been no evidence regarding the use of child labor directly or indirectly with the brand. Where'd you get it from? [35], Legal experts have noted that Shein may be able to avoid the repercussions of the Uyghur Forced Labor Prevention Act as a result through a favorable tax loophole. There have been many other instances like this where the brand has been called out for using harmful chemicals such as organotins, phthalates and antimony in their products, well above the government regulated limits. I am an outdoor person, love to do hiking, camping, and nearly all outdoor activities that are not highly risky (for now, at least). While not known to many, Shein chooses the manufacturers and suppliers based on their quality, low manufacturing costs and fast turnaround times. Their second largest hub is based in New Jersey, USA, where their American hub is located. Despite being founded as a b2c fashion e-retailer, now theyre selling in more than 150 countries with a current valuation of over $100 billion, and Shein is the first private fashion company to reach this level. About one dozen employees interviewed there said they worked similar, long, hours. The companies have remade fast fashion, but their pioneering approach has the potential to go far beyond retail, says John Deighton. UNIDENTIFIED PERSON #3: What better thing to do than to get new clothes for your new closet? However, this is not the case with all the clothes sold on Shein and it only happens once in a blue moon which got me thinking that it could possibly be just simple human error and not a deliberate act. Shein was in the spotlight late last year when a number of their jackets were to be recalled as Canadian health authorities suspected that they contained dangerously high levels of lead and other chemicals making them unsafe to wear for children and adults. Shein issued an apology for the offensive image, and also for using the image without the permission of the person who created the design.[52]. On the other hand, Shein has launched the Shein Spotlight program that is helping over 14,000 employees of 120 suppliers to help cover the educational cost and child care. A post shared by SHEIN.COM (@sheinofficial), Shein describes itself as an international B2C fast fashion e-commerce platform (that) focuses on women's wear, but also offers men's apparel, children's clothes, accessories, shoes, bags and other fashion items and it upholds the philosophy that "everyone can enjoy the beauty of fashion.". Shein is a huge name on social media, but there is a lot of information and So if 100 percentage of Shein's products is made in China and Shein's products using cotton, of course, now there's a legitimate concern about whether Shein's products, you know, involve forced labor. RASCOE: That's Sheng Lu, associate professor of fashion and apparel studies at the University of Delaware. We use on-demand manufacturing technology to connect suppliers to our agile supply chain, reducing inventory waste and enabling us to deliver a variety of affordable products to customers around the world. He also loves hiking and camping and is spirited toward all outdoor activities. The trousers came unhemmed, uncomfortably cheap and vaguely close to the beautiful pictures they rope me in with. As an Amazon Associate, I earn from qualifying purchases. "The fashion industry is changing to a certain extent at the higher end level but this isn't happening for cheaper clothes brands". Like, if the price for that cute dress just seems too good to be true, is it too good to be true? At one supplier site, researchers also found that there were no emergency exits and barred windows, which could prove fatal in the event of a fire. They conducted interviews with 10 workers across six of those cities and reported that those they spoke to were doing three shifts per day - often only getting one day off a month. This seemingly opaque company relies mostly on digital marketing and bloggers to get you hooked on their products, rather than divulging anything about their supply chain transparently. Read about our approach to external linking. There are controversies and actual public interviews with workers working in manufacturing faculties contracted by Shein to be working 12 hours a day which is against Chinas labor policy. WebExclusive discounts and the latest trends at SHEIN Men's Tops, Bottoms, Shoes, and more. In 2018, Ilse Valfre, who owns the LA-based brand Valfr, was notified by her customers that Shein was selling "identical copies" to her products. RASCOE: We reached out to Shein and Temu for a response. [16] Shein not only makes use of its algorithm-driven recommendation system but also attracts customers to visit the platform frequently to do tasks, like adding items to their cart, watching live streams, and joining its contest show, to win points which can be redeemed later. [4], Shein makes predictions on trends and produces items as quickly as three days after the identification of a trend. They are based in Singapore and Boston, respectively. However, I was able to find out that Shein has a number of suppliers from whom they source their clothes and a majority of their inventory originates from China with a few manufacturing hubs setup in South Asia. Can I get in touch with Shein manufacturers to source from directly? I hope this clears the air about whether or not Shein makes their own clothes and since most of the suppliers/vendors are open to work with other brands, why not try getting in touch with them if youre interested in becoming an entrepreneur, it just might work out for you. [4] In 2012, the company established the current website and began using social media marketing by collaborating with fashion bloggers for giveaways and advertising items on Facebook, Instagram, and Pinterest. Corporate Social Responsibility | SHEIN UK, https://us.shein.com/2021-Sustainability-and-Social-Impact-Report-a-1218.html. Boohoo booms and Primark plummets as coronavirus affects fast fashion, View: To beat deadly superbugs, we must tackle pollution, Heres why Denmark is our Green country of the month, South America's 'lithium fields' reveal the dark side of electric cars. In response to the controversy, Shein removed the products and pledged to drop the supplier that produced the copied item. 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