.jpeg "Shein x Reliance Retail: A New Era of 'Made‑in‑India' Fast Fashion")
Mumbai, June 9, 2025 – Fast‑fashion powerhouse Shein has struck a major licensing deal with Reliance Retail to rapidly expand its manufacturing footprint in India targeting 1,000 local suppliers within a year with plans to export apparel made in India to key overseas markets.
From 150 to 1,000: A Manufacturing Leap
Currently, Reliance is working with around 150 garment makers, and in talks with an additional 400 factories aiming to scale to 1,000 suppliers by June 2026.
These suppliers will produce Shein-branded apparel not only for the Indian domestic market, via the Shein India Fast Fashion app, but also for Shein’s global platforms, starting with the US and UK.
Strategic Shift from China Amid Tariff Pressures
Shein, headquartered in Singapore but with roots in China, is diversifying its supply chain in response to U.S. tariffs on Chinese imports, which have clogged low-value e-commerce shipments.
Setting up India as a flagship manufacturing hub offers tariff benefits and resilience against geopolitical disruptions.
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Building Infrastructure & Know-How
Reliance is supporting suppliers by upgrading factories, sourcing synthetic fabrics, importing machinery, and adopting Shein’s data-driven, on-demand production model starting with small batch runs (about 100 pieces) to test designs.
Reliance executives have even visited China to observe Shein’s operations firsthand.
Licensing & Data Control
The partnership grants Reliance exclusive rights over the Shein brand in India, with no equity for Shein.
The Shein India app and associated infrastructure are fully owned and controlled by Reliance, ensuring that all user data is hosted within India, addressing earlier security concerns.
Shein’s Comeback After 2020 Ban
Shein was banned in India in 2020 amid national security and geopolitical tensions. It made a cautious return in early 2025 under Reliance’s license, with a curated selection of around 12,000 designs and extremely competitive pricing (around ₹349 per dress).
Why This Matters
For India: Expansion to 1,000 MSME suppliers could create thousands of jobs, modernize infrastructure, and position India as a competitive alternative to China for fast fashion.
For Shein: The move allows Shein to sidestep U.S. tariffs, reinforce supply chain flexibility, and deepen its presence in the world’s second-largest apparel market.
For Reliance: Riding on the Shein brand, Reliance strengthens its e-commerce capabilities while boosting Ajio and Jio’s retail ecosystem by adding scale and global integration.
Timeline & Next Steps
- 6–12 months: Target rollout of India-made Shein products on Shein’s US and UK sites .
- 1 year (by June 2026): Onboard 1,000 Indian suppliers.
- Ongoing: Infrastructure upgrades, synthetic fabric sourcing, machinery imports, and skill-building for local MSMEs.
