Shein's shares began trading in Hong Kong following a lengthy IPO process, though the company faces significant regulatory challenges in its core markets. French authorities have imposed penalties on Shein's ultra-fast-fashion model under new rules regarding production volumes and repair costs. Simultaneously, the US has removed the de minimis tax exemption for small online packages, while Brussels has introduced a €3 per item customs duty on ecommerce parcels. These measures reflect a deteriorating geopolitical climate, including US-China tariff wars and EU-China trade tensions.

Despite these headwinds, Shein reported 273 million active customers across 160 markets, offering over 2 million apparel styles with approximately 4,700 new designs added daily. The company explored listings in New York and London before ultimately choosing Hong Kong. Shares initially fell but stabilized near the offer price, valuing the company at $26 billion — a fraction of previous valuations.

To diversify its revenue streams, Shein is expanding its Shein Xcelerator program, allowing outside brands to utilize its infrastructure. The retailer has also been acquiring high street labels, including Missguided in 2023 and Everlane this year. However, the Everlane acquisition is under review by the Committee on Foreign Investment in the United States. Analysts suggest local brand investment could mitigate consumer pushback and expand brick-and-mortar presence. This strategy follows backlash against Shein's planned Paris store, which was scrutinized for third-party marketplace violations involving illegal items.