Shein and Reliance Expand India Manufacturing to Tap Global Market

Fast-fashion giant Shein and its Indian partner Reliance Retail are accelerating efforts to expand their supplier base in India, aiming to grow from 150 to 1,000 local manufacturers within a year. The move comes amid rising U.S.-China trade tensions and aims to diversify Shein’s sourcing network beyond China. Two sources familiar with the plan said India-made Shein products will be available on U.S. and UK websites within six to twelve months.

Shein, originally founded in China and now headquartered in Singapore, had its app banned in India in 2020 due to geopolitical tensions. It re-entered the Indian market in 2024 through a licensing deal with Reliance Retail, which operates SheinIndia.in and oversees local manufacturing and distribution. While Shein claims the deal is for domestic sales only, India’s Commerce Minister has confirmed ambitions for global exports.

Shein’s Indian app has already seen 2.7 million downloads with 120% monthly growth, offering 12,000 designs since launch. By comparison, Shein’s U.S. website lists over 600,000 items. Reliance is testing Indian manufacturers’ ability to replicate top-selling global designs at a lower cost, using Shein’s on-demand production model where suppliers initially produce just 100 units per design.

Reliance executives have also visited China to study Shein’s supply chain and marketing strategies. To scale production, Reliance plans to invest in local suppliers, source specialized synthetic fabrics, and import machinery to fill gaps in India’s textile ecosystem.

This partnership reflects broader industry trends, as global retailers including Walmart seek alternatives to Chinese manufacturing. Reliance, already managing brands like Brooks Brothers and operating the Ajio platform, is positioning itself as a key player in global fast-fashion exports through the Shein alliance.