Shein swings to a loss as Trump trade rules hit sales
Fast-fashion retailer Shein reported a quarterly loss of $99 million, citing the removal of US import duty exemptions and increased operational costs. The company is currently preparing for an upcoming IPO in Hong Kong while navigating geopolitical tensions and supply chain challenges.
Why it matters
The shift in Shein's profitability highlights the significant impact of changing international trade policies on global e-commerce giants.
Image source, In Pictures via Getty Images By Peter Hoskins Business reporter Published 6 minutes ago Shein says it swung to a quarterly loss as its sales slowed after US President Donald Trump removed an import duty exemption on small packages.
It also comes as uncertainty remains over the tit-for-tat US-China tariffs wars, which is currently paused.
The fast-fashion giant, which has its headquarters in Singapore but was founded in China, said it lost $99m (£74.1m) in the first three months of the year, compared with a net income of $395m a year earlier.
The announcement is part of the firm's preparations ahead of its stock market debut in Hong Kong, although the filing did not give any details on the size, timetable or pricing of the planned initial public offering (IPO).
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