Shein has announced plans to open its first physical locations in France this November, even as the country works on legislation to regulate the fast-fashion industry, reports 24brussels.
The online retailer, which manufactures most of its ultra-cheap clothing in China, will open locations inside department stores across Dijon, Grenoble, Reims, Limoges, and Angers through a partnership with real estate company Société des Grands Magasins (SGM). This marks a significant shift for Shein, which has primarily operated online, except for temporary pop-up stores in locations like New York City.
Shein’s decision to establish physical stores coincides with the French Senate’s approval of legislation that imposes a tax on fast-fashion companies based on their environmental impact and restricts their advertising practices. This backdrop of increased scrutiny has heightened opposition against Shein’s expansion, amidst growing concerns about the sustainability of the fast-fashion model.
Furthermore, the retailer faces impending regulations as a “very large online platform” under the European Union’s framework aimed at accountability for tech giants. Recently, Shein was fined $176 million in France for alleged violations related to unauthorized data collection from users.
SGM, which operates the Bazar de l’Hôtel de Ville (BHV) department store chain, plans for Shein to set up within both BHV and Galeries Lafayette locations. However, Galeries Lafayette has publicly opposed this decision, asserting that Shein’s business practices are fundamentally at odds with the store’s values and offering. The store has indicated that this move may violate the terms of its franchise agreement with SGM.
Paris Mayor Anne Hidalgo has also expressed disapproval, stating that the establishment of Shein within the local BHV store contradicts Paris’s ecological and social ambitions that prioritize responsible and sustainable local commerce.
