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Shein, a popular fast fashion brand that was banned in India five years ago, is back on the market through a new licensing deal with Isha Ambani-led Reliance Retail.
The Shein India Fast Fashion app went live over the weekend, marking a major return for the Chinese company after it was barred in 2020 when diplomatic tensions between India and China escalated.
The company has not made a public announcement, but according to media reports, the agreement gives Shein a way to connect with Indian consumers while meeting strict local regulations and data storage requirements.
Ban and return
The Indian government originally banned Shein and several other Chinese apps in 2020 over concerns about data security and amid a border dispute between the two countries.
The brand had been a big hit in India for its affordable and trendy clothing, but it disappeared from the market once the ban took effect.
Other popular platforms such as TikTok and PlayerUnknown’s Battlegrounds (PUBG) were also banned, although PUBG later returned under a different name, Battlegrounds Mobile India (BGMI).
Reliance deal
Under the new partnership, Reliance Retail will pay a licensing fee to Shein’s parent company, which is headquartered in China and has since expanded globally. All Shein-branded products in India will be manufactured and sourced locally, with Reliance overseeing operations and data.
Commerce Minister Piyush Goyal told Parliament in December that these conditions ensure Shein does not have direct access to Indian user data and must store any customer information within the country.
While the government banned the Shein app in 2020, there was never a restriction on the sale of Shein-branded products, which paved the way for this re-entry deal with Reliance.
New app launch
Shein’s new mobile app became available for download on Friday night, and early users have already found steep discounts on clothing starting as low as Rs 199.
Initial deliveries are limited to major cities such as Delhi, Mumbai and Bengaluru, but a message on the app says the company plans to offer nationwide service soon.
Shein, which began in China in 2012 before shifting its main operations to Singapore, is known for fast-turnaround fashion aimed at young shoppers.
The company sells in more than 150 countries and is reportedly preparing for an initial public offering in London sometime this year.