Shein Ramps Up Charm Offensive as it Eyes London IPO
Fast-fashion giant Shein is stepping up its efforts to improve its public image as it prepares for a potential initial public offering (IPO) in London. The company has issued a press release detailing its product safety measures and sustainability initiatives, amidst concerns over the safety of its products and its supply chain.
Shein announced that it conducted over 2 million product safety tests last year, using industry-leading labs such as Bureau Veritas and Intertek. The company also requires its vendors to submit documentation for items like toys, baby products, medical devices, and electronics. Additionally, Shein has terminated over 260 sellers on its marketplace for not meeting compliance requirements.
The company’s efforts come after it recalled over 300 hair dryer brushes in the US due to electrocution or shock hazards. Shein is offering refunds to impacted customers and has not reported any injuries.
Shein’s product safety testing is unusual in the industry, as most online marketplaces only require sellers to conduct their own testing and provide documentation. The company’s decision to conduct tests on third-party sellers makes it stand out in an industry plagued by safety concerns.
Shein’s charm offensive also comes as the company faces scrutiny in the UK over its supply chain and potential use of forced labor. Lawmakers have criticized the company’s general counsel for evading questions about its supply chain and sourcing practices. Shein has refused to answer questions about whether its products contain cotton from Xinjiang, a region notorious for its Uyghur detention camps.
The company’s lack of transparency has raised concerns among lawmakers, who have expressed “zero confidence” in the integrity of Shein’s supply chain. Shein’s refusal to answer questions has been met with criticism, with one committee chairman describing the company’s behavior as “horrifying” and “bordering on contempt”.
