Shein India returns with Reliance Partnership 2025
After being banned nearly five years ago during diplomatic tensions in 2020, the Chinese fast-fashion giant is returning to India through a strategic Shein-Reliance partnership. The move aims to meet India’s growing demand for affordable, trendy clothing while adhering to local manufacturing and data sovereignty requirements. The Shein-Reliance Retail Partnership, reportedly backed by Isha and Mukesh Ambani, aims to reintroduce affordable fashion to India. The ‘Shein India Fast Fashion’ app became available for download on both Apple and Google app stores in February 2025.
Shein has agreed to a unique level of oversight, including regular audits by government-approved cybersecurity firms until a suitable solution is reached. The fast fashion brand Shein eminent online fashion retailer, was among the 59 Chinese apps banned by the Indian government in June 2020 due to privacy concerns. The ban, issued by the Ministry of Electronics and Information Technology, followed increased tensions with China after border clashes between the two countries armies in a disputed Himalayan area.
Despite the 2020 ban on the Shein app, reports suggest that some Indian consumers continued to access Shein products through alternative channels. While the exact nature of these platforms remains unclear, they likely included a combination of strategies. Some consumers may have utilized Virtual Private Networks (VPNs) to access international versions of the Shein website. Others may have purchased Shein products through third-party resellers operating on e-commerce platforms not directly covered by the ban, or through social media sellers. It’s also possible that some individuals procured Shein items through friends or family traveling abroad. However, due to the lack of official data on these transactions, the precise volume and methods of these continued purchases remain difficult to quantify.
The initial launch will be in selected metropolitan cities, including New Delhi, Mumbai, and Bengaluru. Shein India plans to expand nationwide soon after the initial launch” is much more concise and effective. Products include dresses, accessories, and more, starting at ₹199 ($2.30). All items are designed and produced in India by local manufacturers.
Small Textile Businesses
While Shein India’s commitment to local manufacturing initially appears beneficial for the Indian textile sector, a closer look reveals potential challenges for smaller, artisanal businesses. These businesses, often operating on tight margins and relying on traditional techniques, may struggle to compete with Shein’s fast-paced production and low prices. One textile artisan in New Delhi explained, ‘We can’t compete with their prices. They produce in huge volumes, and we simply can’t match that.’ This sentiment, echoed by other small business owners, suggests that while large manufacturers may benefit from increased orders, smaller players could be squeezed out of the market.
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