Reliance Retail has introduced an app in India, offering fashionwear from China’s Shein, as part of a licensing agreement. This development comes nearly five years after Shein’s app was banned in India, due to its involvement in a diplomatic dispute.
According to reports, Reliance’s launch plans, the company, owned by billionaire Mukesh Ambani, quietly launched the app on Saturday morning, without making a formal announcement.
The launch of the ‘Shein India Fast Fashion‘ app marks a shift in Reliance’s strategy, as it typically adds brands to its flagship fashion app Ajio, which features brands like Superdry and Gap. This move is part of Reliance’s efforts to compete with rivals such as Myntra, owned by Walmart’s Flipkart.
Shein is a Chinese e-commerce company founded in 2012, now headquartered in Singapore. It offers trendy and affordable clothing. Its app was banned in India in 2020 due to data security concerns and strained Indo-Chinese relations.
Last year, India’s government disclosed to parliament that Reliance had entered an agreement with Shein, where Indian manufacturers would supply products under the Shein brand.
Upon opening the app, a message reads, “The fashion OG (original) is back.” Initially, deliveries will be limited to select cities, including New Delhi and Mumbai, with plans for nationwide expansion soon. The app offers affordable fashion options, with dresses starting at just 350 rupees (around $4).
According to a person familiar with the matter, Reliance will pay a licensing fee to use Shein’s brand name, but there will be no equity investment in the partnership. Additionally, a second person with direct knowledge of the matter revealed that all Shein-branded products sold through the app are designed and manufactured in India. These products will also be made available on Ajio, although a specific timeline was not provided.
Shein aims to list in London in the first half of the year. It ended its attempt to list in the U.S. following objections from lawmakers who questioned China’s requirement for businesses to seek approval to list abroad.
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