Shein: Chinese Fast-Fashion Targets Sustainability

Published on:
by KnowESG,


KnowESG_Fast Fashion
Image courtesy of Unsplash

According to Shein's Executive Vice Chairman, Donald Tang, the Chinese fast-fashion retailer has plans to shift towards a greater focus on sustainability. Tang stated that consumers are now not only concerned about affordability but also increasingly prioritise sustainability.

Shein, known for its inexpensive clothing such as $10 dresses and $5 tops, has gained market share from other affordable fashion retailers. However, the company has faced criticism for promoting throwaway fashion, as it produces clothing in China to sell online in the United States, Europe, and Asia.

"At the World Retail Congress in Barcelona, Tang highlighted that consumers today are no longer solely focused on price when making purchasing decisions. To sustain growth in the next phase, companies need to prioritise environmental, social, and governance (ESG) considerations," Tang explained.

ESG, which stands for environmental, social, and governance, refers to the initiatives and actions taken by corporations to be more responsible in their business practices. This encompasses considerations related to environmental impact, social responsibility, and governance practices aimed at ensuring transparency, accountability, and ethical decision-making.

Tang revealed that Shein is working on providing customers with the option to choose higher-quality materials for certain items and pay a premium for them as part of their sustainability efforts. He also highlighted Shein Exchange, the company's platform that allows shoppers to resell used clothes, which launched in the US in October and is expected to expand to other markets later this year.

Tang further noted that Shein's growth has been consistently strong, with typically less than 2% of unsold inventory, indicating the company's success in managing its stock levels efficiently.

For more company-related news

Source: Reuters


Companies Headlines

Survey Unveils Bright ESG Strategies of Chinese Firms

Survey Unveils Bright ESG Strategies of Chinese Firms

Menzies Unveils ESG Consulting Offering

Menzies Unveils ESG Consulting Offering

Uber Green: All-Electric Service in India

FedEx Helps Users View Historical Emissions Data

Vedanta Aluminum, ERM Unite for Biodiversity Plan

Nassau Adopts Responsible Investment Principles

Swiss Re Cuts Net-Zero Insurance Alliance Ties

H&M Group Advancing Nature-Positive & Net-Zero Action

German Merck Adds Renewable Energy Capacity

Scrap Boosts Swiss Steel's Low Carbon Footprint

More from Shein