Business & Markets
Shein closes nearly flat in Hong Kong IPO debut
Shein shares closed almost unchanged on Tuesday in their Hong Kong trading debut, ending down 0.1% at HK$48.5 after falling by as much as 10% at the open.
The online fast-fashion retailer raised US$1.7 billion in its initial public offering. The listing price of HK$48.56 valued the company at about US$26.3 billion, far below the nearly US$100 billion valuation reached during private fundraising rounds in 2022.
The Hong Kong flotation followed earlier plans to list in New York and London that were derailed by regulatory scrutiny. Shein won approval from Chinese officials in July for the Hong Kong sale.
Shein said it would use the IPO proceeds to finance its technology capabilities and expand internationally. The company, now headquartered in Singapore, is known for low prices and rapidly produced clothes.
Analysts cited by AFP have said Shein's move from China to Singapore between 2021 and 2022 was intended to avoid increasing global scrutiny of Chinese firms. Its European customer base rose to 156 million average monthly users by the end of 2025, making it one of the region's largest e-commerce platforms alongside AliExpress, with 193 million users, and Amazon, with about 180 million.
Shein has faced scrutiny over its environmental footprint and allegations of human rights violations, while also facing competition from low-cost e-commerce companies including Temu and AliExpress. Executive chairman Donald Tang told AFP last year that the company has “zero tolerance” for forced labour.
Morningstar analyst Lorraine Tan said in an August note that Shein's revenue growth had converged with the fast-fashion industry pace at below 10% in 2025. She said the lower valuation reflected a drop in investor appetite for the company's shares.
Han Lin, China director of consultancy The Asia Group, told AFP that Tuesday's listing was “not a loss” despite the weak market reaction, but said early share-price weakness suggested investors wanted evidence rather than promises.
Shein reported full-year net profit of US$2.06 billion in 2025, but moved to a US$99 million loss in the first three months of this year after the United States ended an import duty exemption on small packages. The European Union last month imposed a duty of three euros, or US$3.50, per item for packages valued at less than 150 euros. France began imposing a fee on ultra-fast fashion items from Tuesday that could eventually reach almost 20 euros per garment.
E-commerce analyst Juozas Kaziukenas told AFP that Shein's near future would be marked by negative growth and that the retailer needed to rebuild its supply chain with more diversified inventory sources beyond direct shipping from China.
Update
Shein shares closed down 0.1% at HK$48.5 after falling by as much as 10% at the open.
Han Lin of The Asia Group said the listing was “not a loss” despite lukewarm market sentiment.
Additional analysts commented on Shein's growth, scrutiny, tariffs and supply-chain challenges.
Source note: AFP news report published on 1 September 2026 at 10:25:19 UTC.
Update
Shein shares fell 10% to as low as HK$43.72, compared with the HK$48.56 listing price.
The IPO valued Shein at about US$26.3 billion, below a nearly US$100 billion valuation in private fundraising rounds in 2022.
Morningstar analyst Lorraine Tan said Shein's 2025 revenue growth had converged with the fast-fashion industry pace of below 10%.
E-commerce analyst Juozas Kaziukenas said Shein's near future would be marked by negative growth.
Lawrence Loh of the National University of Singapore said the Hong Kong listing opened a new Asian chapter for Shein but would bring more public scrutiny.
Source note: AFP news report published on 1 September 2026 at 03:25:41 UTC.
Update
Shein shares were down more than 9% soon after the open, compared with an earlier reported 8% fall.
The shares were trading at HK$44.00, compared with the listing price of HK$48.56.
The latest item says Beijing approved the Hong Kong IPO in July.
Source note: AFP news report published on 1 September 2026 at 02:05:04 UTC.
Update
Shein shares were down 8% soon after the Hong Kong market opened.
The shares traded at HK$44.68, compared with the listing price of HK$48.56.
Source note: AFP news report published on 1 September 2026 at 01:42:01 UTC.
Update
Shein slipped 7% in its Hong Kong trading debut.
Source note: AFP news report published on 1 September 2026 at 01:34:27 UTC.
Update
France will impose a fee on ultra-fast fashion items from Tuesday that could eventually reach almost 20 euros per garment.
Shein has faced scrutiny over its environmental footprint and allegations of human rights violations.
Shein executive chairman Donald Tang told AFP last year that the company had “zero tolerance” for forced labour.
Source note: AFP news report published on 31 August 2026 at 15:59:57 UTC.
Update
Shein's Hong Kong IPO valued the company at about $26.3 billion.
The $26.3 billion valuation is below the $98.2 billion valuation from private fundraising rounds in 2022.
Shein's shares are to begin trading in Hong Kong on Tuesday.
The company said it would use the funds to upgrade technology and expand internationally.
Shein reported a $2.06 billion full-year net profit last year but recently recorded a $99 million quarterly loss.
The United States scrapped an import duty exemption on small packages, and the European Union imposed a duty of three euros per item for packages valued below 150 euros.
Morningstar analyst Lorraine Tan said slower revenue growth, geopolitical challenges, competition and tariff risks were weighing on market perception.
Source note: AFP news report published on 31 August 2026 at 14:29:41 UTC.
Update
Shein raised $1.7 billion in its Hong Kong initial public offering.
Shein priced its shares at HK$48.56 each, below the maximum announced offer price of HK$49.50.
Source note: AFP news report published on 31 August 2026 at 14:15:13 UTC.
Uncertainty notes
The human rights allegations against Shein are allegations and are not established as facts in the supplied material.
Future effects of tariffs, duties and regulatory scrutiny on Shein's growth are analyst assessments and forecasts.
Source
AFP news report published on .