By Raysonho @ Open Grid Scheduler / Scalable Grid Engine - Own work, CC BY-SA 4.0,
Shein’s ambitions to list on the UK stock market are likely to be postponed until the second half of this year following Donald Trump’s decision to close so-called “de minimis” standards, according to the Financial Times.
Shein planned to go public in London in the first half of this year, if it received approval from UK and Chinese regulators, Reuters reported last month.
The company’s commercial prospects have been clouded in recent days by the Trump administration’s announcement that it will eliminate the de minimis duty exemption in the United States, thus removing an import restriction that had helped Shein keep prices low.
The elimination of the exemption might harm Shein’s profitability and raise product costs in the United States, its largest market, analysts and industry experts have previously stated.
The fast-fashion firm had told investors that a London listing might take place as early as Easter, according to the FT, citing people familiar with the matter.The abolition of de minimis is part of Trump’s decision to impose an additional 10% tariff on China, which he described as a “opening salvo” in a fight between the world’s two largest economies.
Shein and rival Temu probably accounted for more than 30% of all items delivered to the US each day under the de minimis rule, according to a 2023 study by the US congressional committee on China. The policy freed shipments worth less than $800 from import charges.
Last week, Shein planned to reduce its valuation in a future offering to roughly $50 billion, nearly a quarter less than the company’s fundraising estimate of $66 billion in 2023, due to rising obstacles.
