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VIJAY PANJWANI

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Reliance is bringing back a BANNED Chinese company to India! Hereโ€™s how they did it: Reliance has tried launching its own fast fashion chainsโ€”Azorte, Yousta, and Reliance Trends. But none really took off.So this time, they pulled a different move. Instead of relying on their own brands, they launched an app dedicated to selling fashionwear from the banned Chinese brandโ€”SHEIN.But waitโ€”wasnโ€™t SHEIN banned in India in 2020? Yes! It was part of a larger crackdown on Chinese apps over privacy concerns.So how did SHEIN bypass this? Instead of investing in India, SHEIN is licensing its trademarks and IP to Reliance in exchange for a share of profit.This loophole lets SHEIN skip the 30% local sourcing rule, since 93% of its products are sourced from China. From a business perspective, it makes senseโ€”SHEINโ€™s low prices come from sourcing and manufacturing in China, where costs are much lower than competitors.

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