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14 Mar 2025 6:00
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  •   Home > News > International

    Shein returns to India after being banned in 2020. Some consumers are excited, but others are worried

    Chinese fast fashion app Shein has relaunched in India almost five years after it was banned — some say it's a worrying move.


    Almost five years since the Chinese app Shein was banned in India, it's back.

    And it’s thanks to Asia's richest man – Mukesh Ambani, Indian billionaire and businessman. 

    His company Reliance Industries has partnered with Shein, helping to alleviate earlier fears about data security.

    Almost two weeks since the app was quietly re-launched, it's had more than 100,000 downloads on Google Play and is number nine in the shopping category on Apple's app store.

    Here's the background behind its ban, and what consumers and business owners in India and Australia think of its return. 

    Why was the Shein app banned in India?

    It was due to concerns about data security. 

    The ban was also part of a larger crackdown on Chinese apps including TikTok, WeChat and Weibo.

    It came after a deadly border clash between the two neighbours in the disputed eastern Ladakh region in the Himalayas in 2020.

    Following these escalating tensions with China, India's technology ministry issued an order to ban 59 mostly Chinese apps, stating they were "prejudicial to sovereignty and integrity of India, defence of India, security of state and public order".

    What are the terms of Shein's re-entry into India?

    It comes with strict conditions that give Reliance full control over its operations and data, according to a statement the Indian government made to parliament.

    The statement clarified the "sale of Shein branded products in India was not banned", only the Shein app.

    All e-commerce operations, logistics and marketing will be handled by Reliance, with Shein acting as a design and branding partner.

    Currently, Shein is only delivering to Delhi, Mumbai and Bengaluru but has plans to expand.

    All customer and application data will be "hosted on infrastructure in India", the statement read.

    "Personal and non-personal data generated from the operation of the platform including all data collected from Indian customers will remain in India with Shein having no access."

    And perhaps the most significant term of the partnership: Shein's products will now be made by manufacturers in India, rather than imported from China. 

    The fashion retailer works with about 5,400 third-party manufacturers who are mainly based in China, and adjusts its production based on what items are most popular with customers.

    India's government sees this change as a positive for its textile industry and job opportunities.

    "It is expected that this will help in [the] growth of Indian textiles manufacturing sector including local handicrafts and create significant employment," the statement read. 

    For Reva Goswami, a university student in India, Shein's return to the country is also a positive. 

    During the years the app was banned, Ms Goswami said she "missed shopping from it".

    "They catch up to trends so quickly, and the price points are always accessible," she told the ABC.

    "In my opinion, nothing really filled the gap that Shein left. A lot of companies tried but obviously nothing could compete with the giant that Shein is.

    "Trends, whether it's lifestyle, beauty or fashion, are going to be so much more accessible than they were before and I’m definitely here for it."

    However, Ms Goswami was also wary of the quality of Shein's products.

    "I've been picky with my shopping on Shein. I would rather pay a little extra for good quality cloth." 

    'Any responsible person would have alarm bells ringing'

    Shein has not been without controversy.

    Unsafe workplaces, child labour, harmful environmental impacts and a lack of transparency about its supply chain have culminated in a string of lawsuits.

    In 2022, Shein released its first sustainability and social impact report, addressing these complaints.

    It revealed 83 per cent of 700 suppliers audited had at least one major risk, 12 per cent had major violations that threatened closure, and close to a third were not prepared for a fire.

    Underage labour was found in less than 1 per cent.

    Shein and Reliance did not respond to the ABC's requests for comment. 

    Some sustainability experts are concerned about the fast fashion giant's return to India, including Dr Saniyat Islam, a senior lecturer in fashion enterprise and sustainable innovation at RMIT University. 

    "This will only be financially beneficial for India," Dr Islam told the ABC.

    "My question is: Is this going to make Indians consume more? And by that, I mean, consume more waste." 

    Dr Islam said "any responsible person would have alarm bells ringing" at Shein returning to India.

    "Clothing on the Shein India app can be bought for only 200 rupees ($3.66)," he said.

    "This is what leads to overconsumption."

    Dr Islam said "a price tag comes" for all the brands that "have all the certifications and source responsibly".

    But not for Shein.

    "It's because they may not source their products responsibly or may not do things the right way. 

    "There is no accountability in terms of what is being made, by whom and where."

    Won't last you 'nearly as long' 

    Australian business owners with operations in India echo Dr Islam's concerns.

    Priya Ravindra is the founder and CEO of Punar, an award-winning startup selling ethical luxury gifts and fashion textiles, all handmade in India. 

    "Every artisan at Punar has equal pay, leave, insurance cover, set hours and compulsory break periods," she told the ABC.

    "No government is funding me and no investor is funding me. I'm investing my own time, money and energy into something that is bigger than me."

    When you buy an item from Punar, Ms Ravindra includes a card telling you how much employment was generated and how much waste was diverted from landfill.

    "This is the transparency we are bringing, and you won't find Shein, Temu or many of the big luxury brands doing the same."

    It's why Ms Ravindra felt disappointed seeing Shein's return to India. 

    "Their products will not last you nearly as long as something that is organic or sustainably made."

    'Transparent and sustainable — how brands should operate'

    Australian Pakistani, Huda Cadekiwala, is following in Ms Ravindra's footsteps, as she nears the launch of her own brand, Qaim Collective.

    Made in India, Ms Cadekiwala and her team use fabrics that are upcycled textiles, repurposing them into contemporary garments.

    "The whole process isn't cheap. But it's transparent and sustainable — how brands should operate," she told the ABC.

    The Melbourne-born designer said she was "extremely concerned" about Shein returning to India. 

    "Their clothes are cheap and trendy, making them highly appealing to young people like university students on a budget," she said. 

    "But they're not seeing the mass amounts of waste and landfill those clothes end up going towards."

     Ms Cadekiwala said she saw this firsthand while travelling in India. 

    "I saw mountains of fabrics and clothing on the side of the road and I thought to myself: 'I can't contribute to this anymore'."

    Both Ms Cadekiwala and Ms Ravindra believe Shein's return to India signals the time to "educate and create awareness around sustainability".

    "Please do your research and support local and independent brands," Ms Ravindra said.

    "You can absolutely buy products without throwing them back to the earth."


    ABC




    © 2025 ABC Australian Broadcasting Corporation. All rights reserved

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