Shein faces backlash as it prepares to open first physical stores in France

Known for its ultra-cheap clothes, Chinese fast-fashion brand Shein plans to open its first physical stores in France on a trial basis.

According to the brand, the very first permanent physical store will open in the heart of Paris in the famed department store BHV Marais in November.

Five more stores will follow, housed in Galeries Lafayette locations in Dijon, Reims, Grenoble, Angers, and Limoges. That's via a partnership with Société des Grands Magasins (SGM), a commercial real‐estate operator that owns BHV Marais and certain Galeries Lafayette department stores, which no longer belong to the group of the same name.

“As an influential global fashion market, France is a natural choice as our first test market for such physical retail experiences," Shein told Euronews Business.

The fast-fashion brand, which is regularly accused of unfair competition by flooding the market with discount products, is facing harsh criticism from the French fashion industry.

The UFIMH, the French Fashion & Clothing Industries Union, notably denounced SGM for opening its doors to fast fashion in these department stores, which currently hold a rich cultural heritage.

The parent company of the franchise stores, Galeries Lafayette group, immediately expressed its "profound disagreement" with SGM's decision.

Although the group doesn't directly operate the regional stores, it said in a statement that it would block Shein's presence there.

The firm criticised the “positioning and practices” of Shein (as an ultra-fast-fashion brand), saying that they are incompatible with the "premium positioning of Galeries Lafayette".

Galeries Lafayette group added that the decision therefore violates its contract with SGM, the operator of the stores.

SGM told AFP that "this partnership is in accordance with the contractual conditions binding SGM to Galeries Lafayette", and assured that "dialogue remains constant between the two groups to resolve this misunderstanding".

Shein told Euronews that "customer feedback in France over the last few years has shown a growing desire for more physical touchpoints with our brand”.

The brand added that the store openings will also bring 200 jobs to SGM, both directly and indirectly.

The Chinese fast-fashion brand employs 16,000 people worldwide and posted an estimated $38 billion (€32bn) in 2024, although the firm's financial results aren't public.