As Shein opened its new store in BHV department store in Paris, protesters gathered to denounce the online fast-fashion retailer, saying it was complicit of Uyghur genocide and child sexual crimes. Allegations have arisen that the retailer’s supply chain in China includes items produced by Uyghur forced labour. Shein is also under investigation by French authorities due to the sale of child-like sex dolls on its website. The company has stated that they are ready to fully cooperate with the authorities. Additionally, last year Shein answered that they have a…
Tag: Retail industry
Shein warns on Trump tariff uncertainty after profits slip
Shein has reported a 20% rise in global revenues to $37bn (£27.7bn) but profits have fallen as the fast-fashion retailer faced increased costs, even before it felt the impact of recent changes to US tax laws. The Singaporean parent company of the rapidly growing retailer said pre-tax profits had fallen by 13% to $1.3bn last year from $1.5bn in 2023 after an increase in selling and marketing costs, according to new accounts. Shein is thought to be trying to list on the Hong Kong stock exchange after efforts to list…
China’s Temu more than doubles EU profits to nearly $120m despite having only eight staff
The Chinese online marketplace Temu’s EU operations more than doubled pre-tax profits last year to just below $120m (£90m) despite employing just eight people, accounts show. They rose 171% in the 12 months to December 2024 compared with the $44.1m the year before, as shoppers snapped up its low-cost goods, which are widely promoted on social media. However, the company paid just $18m in corporation tax, almost $3m of which was a mandatory top-up tax brought in at the end of 2023 after the EU signed up to a global…
Arc’teryx fireworks display in Tibet prompts environmental outcry
The outdoor brand Arc’teryx has issued an apology after a promotional fireworks display in the Tibetan plateau led to an outcry over potential environmental damage. The promotional Rising Dragon high-altitude show involved long stretches of choreographed pyrotechnics and coloured smoke along snow-topped Himalayan ridgelines in the Tibetan region of Shigatse. The Canadian company, part-owned by China’s Anta Group, had partnered with a Chinese artist, Cai Guo-Qiang, who oversaw similar shows for the 2008 Beijing Olympics. The organisers said the display used biodegradable, environmentally friendly materials, that all stock herds had…
Sainsbury’s in talks to sell Argos to Chinese retailer JD.com
Sainsbury’s ill-starred ownership of the Argos retail business looks likely to end as the supermarket negotiates a sale to the Chinese retailer JD.com. No agreement has yet been reached but Sainsbury’s confirmed it was in discussions to hive off Argos, the general merchandise arm it bought for more than £1bn less than a decade ago. Sainsbury’s said a sale to JD.com would speed up the transformation of Argos, whose business has gone increasingly online and within larger Sainsbury’s branches. JD.com (unrelated to JD Sports) is one of China’s biggest retailers…
Trump tariffs: global parcel shipments to US lose exemption
The US tariff exemption for package shipments valued under $800 officially ended on Friday, raising costs and disrupting supply chain models for a range of businesses, with Trump administration officials saying the change would be permanent. There is now a six-month transition period under which postal service shippers can opt to pay a flat duty of $80-$200 per package depending on the country of origin, the officials added. The US Customs and Border Protection (CBP) agency began collecting normal duty rates on all global parcel imports, regardless of value, after…
Kmart faces legal action in Australia over potential forced labour links – podcast
Earlier this month an Australian-based Uyghur group launched legal action against Kmart in the federal court. The case has put the retailer’s supply chain under scrutiny for potential links to forced labour in China’s Xinjiang province. Nour Haydar speaks with senior reporter Ben Doherty about the legal action against Kmart and the warnings that Australia could become a dumping ground for products linked to forced labour The Guardian
Kmart supply chains under scrutiny for potential Uyghur forced labour links in Australian court case
The letter was effusively polite, the allegations anything but. “We have the honour to address you,” the seven United Nations special rapporteurs began their correspondence to the head of Jiangsu Guotai Guosheng garment factory in China’s Xinjiang province. The 2021 letter then detailed allegations of brutal working conditions for members of China’s Uyghur minority, reportedly forcibly transported hundreds of kilometres and arbitrarily detained for re-education and forced labour. “Workers are reportedly required to work in fenced-in factories … allegedly exposed to intimidation, coercion, threats, and restriction on their freedom of…
Shein looks at moving back to China for Hong Kong listing after London IPO stalls
The online fashion retailer Shein is understood to be considering moving its base back to China from Singapore to pave the way for a Hong Kong listing. The business, which was founded in China and moved its headquarters to Singapore in 2022, had been considering a £50bn float in London after failing to win approval from regulators in the US for a New York flotation. However, Chinese authorities have not given the nod to a UK listing and the fast-fashion group has faced questions about conditions in its supply chain…
EU commissioner shocked by dangers of some goods sold by Shein and Temu
The EU justice commissioner has expressed shock at the toxicity and dangers of some goods being sold by Shein and Temu, amid a crackdown on the popular Chinese retail platforms. With 12m low-value parcels each day coming into the EU from online retailers outside the bloc, Michael McGrath has vowed to crack down on the sale of goods that blatantly break the law. He is waiting for the imminent results of an EU-wide secret shopper operation to further test evidence already gathered that Chinese retailers are bypassing EU laws. Among…