Shein picks France for its first permanent stores

PARIS: Asian fast-fashion giant Shein said Wednesday (Oct 1) it had picked France to open its first permanent physical stores in November.

The company, whose environmental record and discount-driven e-commerce business model have often come under criticism, said in a statement the first shop would open at the BHV Marais department store in Paris.

It would be followed by five more in Galeries Lafayette department stores in the cities of Dijon, Reims, Grenoble, Angers and Limoges, it said.

The move comes through a partnership with retail property group Societe des Grands Magasins (SGM), which owns BHV Marais and several Galeries Lafayette stores.

"This alliance is more than a launch: it is a pledge to revitalise city centres across France, restore department stores, and create new opportunities for French ready-to-wear," the company said in a statement.

It said the stores will offer a full range of services and create 200 direct and indirect jobs in France.

While Shein has previously held temporary pop-ups in cities such as Paris, it has never established a permanent physical shop before.

"By choosing France as the place to trial physical retail, we are honouring its position as a key fashion capital and embracing its spirit of creativity and excellence," said Donald Tang, Shein's executive chairman.

"It is fitting that this journey starts in Paris, at BHV - the birthplace of modern retail," he was quoted as saying in the statement.

Founded in China and now based in Singapore, Shein built its empire on ultra-cheap clothing, a vast product range and aggressive marketing.

But it faces mounting criticism over the environmental impact of its massive production, labour conditions and alleged unfair competition, with European brands accusing it of skirting European Union standards and exploiting customs exemptions for low-value parcels.

Shein employs 16,000 people worldwide and posted US$23 billion in revenue in 2022.