Shein strengthens logistics operations in the US

American fast fashion brand Shein boosts logistics operations, expanding its market beyond China.

According to a previously announced plan, Shein is recruiting a leader responsible for business operations and logistics in the US. This person will coordinate commercial and transportation activities, and act as a liaison between the headquarters and branches in the US and Singapore. In addition, the company is also recruiting an executive specializing in legal to ensure the brand complies with business laws here, according to Modern Retail.

The reason sShein is forced to expand its executive recruitment stems from close scrutiny from US lawmakers, who are concerned about the company's ties to China and are unclear about when it will complete the legal procedures required to operate legally in the land of the stars and stripes.

The head of logistics will manage the Shein brand’s relationships with third-party logistics, warehouses, and trucking companies. He or she will also help the brand’s overseas logistics team optimize the import process, handling a number of customs clearance exceptions for cross-border orders each day.

A corner of Shein's office in Singapore headquarters, October 18. Photo: Chen Lin — A corner of Shein's office in Singapore headquarters, October 18. Photo: *Chen Lin*

In the US market, Shein is one of the fast fashion brands favored by women thanks to its diverse designs. Similar to other brands in the same segment, the prices of clothing and dresses here only fluctuate around 10 USD. You even only need to spend about 5 USD to own a set of jewelry accessories.

The brand has previously come under scrutiny from governments in several countries over its ties to China. Lawmakers in the United States and Brazil have criticized its use of customs exemptions, which allow low-cost packages to be shipped directly to consumers without import duties, into those countries. Brazil is still deciding how much to tax similar shipments from other international e-commerce companies.

The US exemption was increased from $200 to $800 in 2016. It was originally introduced to offset the cost of inspecting low-cost shipments, but critics say e-commerce companies, especially those from China, have benefited disproportionately from the policy.

Shein has previously been embroiled in controversy over its use of forced labor. However, the company later denied the allegations and said it was "committed to respecting human rights and complying with local laws and regulations in each market where it operates."

Can Y (According to Reuters )

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