Chinese fashion giant Shein risks EU customs duty hike ahead of potential £50bn London IPO
Questions: Shein’s practices are under scrutiny ahead of a possible £50bn listing on the London Stock Exchange
Shein may face import duties from the European Union.
The Chinese fashion giant’s practices are coming under scrutiny in preparation for a possible £50 billion IPO on the London Stock Exchange.
Under EU rules, overseas retailers do not have to pay import duty on parcels worth under £127 (€150). But regulators say the volume is testing customs limits and they plan to tweak the rules.
Last year, 2.3 billion goods worth less than €127 were sent to the EU. Singapore-based Shein relies on suppliers in China to make its discounted clothing and has faced criticism over the treatment of its staff.
Shein said: ‘Shein is investing millions in strengthening governance and compliance in our supply chain.’
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