Fast-fashion giant Shein and Reliance Retail are reportedly collaborating to export clothing made in India to international markets within the next 6 to 12 months. This initiative aims to leverage India's manufacturing capabilities and growing textile industry while diversifying Shein's supply chain away from China.
The partnership involves a significant expansion of Shein's supplier network in India, increasing the number of Indian manufacturers from approximately 150 to a targeted 1,000 within the next year. This expansion will enable the production of Shein-branded apparel within India, catering to both domestic consumption and international distribution through Shein's global online platforms. The initial focus will be on listing India-made garments on Shein's U.S. and U.K. websites, marking India's debut as a production origin for the global operation.
This strategic move is partly motivated by the recent imposition of tariffs on Chinese imports by the United States. These tariffs have increased the urgency for Shein to diversify its production sources and reduce its reliance on Chinese suppliers. By shifting some of its manufacturing to India, Shein can potentially mitigate the impact of these tariffs and maintain its competitive pricing.
Reliance Retail, a subsidiary of Reliance Industries, will play a crucial role in this partnership. Reliance will be responsible for managing the manufacturing, supply chain, sales, and operations for Shein in the Indian market. This includes identifying and onboarding new suppliers, ensuring quality control, and managing logistics. The partnership leverages Reliance's extensive network and understanding of the Indian market, providing Shein with a strong foundation for growth.
The collaboration also aligns with the Indian government's "Make in India" initiative, which encourages domestic manufacturing and production. By sourcing and manufacturing apparel within India, Shein and Reliance can contribute to the growth of the local textile industry and create employment opportunities. It is estimated that this partnership could potentially create tens of thousands of jobs in the Indian garment manufacturing sector, boosting local economies and skill development.
Furthermore, Reliance is planning to implement Shein's "on-demand" production model in India. This model involves starting with small initial batches of around 100 units per design and then scaling up production based on consumer demand and preferences. This approach allows for greater flexibility and reduces the risk of overstocking, aligning production with actual market demand. Reliance executives have reportedly visited China to study Shein's data-driven design protocols, supply chain techniques, and digital marketing strategies to effectively implement this model in India.
Shein had previously operated in India in 2018 but was banned in 2020 due to governmental actions against Chinese-affiliated companies. The company re-entered the Indian market in February 2025 through a licensing agreement with Reliance Industries, launching SheinIndia.in, which sells Shein-branded attire manufactured in domestic factories, differentiating it from their other international websites that predominantly feature Chinese-made products. This new partnership signifies a renewed commitment to the Indian market and a strategic shift towards local manufacturing and global exports.
Overall, the partnership between Shein and Reliance Retail has the potential to transform India into a major hub for fast fashion manufacturing, catering to both domestic and international markets. The collaboration leverages India's manufacturing capabilities, reduces reliance on Chinese suppliers, and aligns with the "Make in India" initiative, paving the way for growth and development in the Indian textile industry.
