Shein reports $99 million loss amid US tariff changes
Fast-fashion retailer Shein posted a $99 million first-quarter loss as US import tariff rule changes hit sales ahead of the company's planned Hong Kong IPO.
Singapore-based fast-fashion retailer Shein reported a $99 million net loss for the first quarter, driven by slowing sales and valuation adjustments linked to preferred shares. The downturn follows US President Donald Trump's decision to eliminate an import duty exemption on small, low-value packages, which had previously allowed direct-from-China e-commerce shipments to enter the market tax-free.
Shein warned that US trade policies and European Union plans to remove similar tariff exemptions for low-value shipments present ongoing risks to its financial performance. The quarterly loss comes as the company prepares for a planned initial public offering in Hong Kong against a backdrop of volatile US-China trade relations.
Sources: BBC News, Sweden Herald.
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- Jul 27, 2026, 09:30 AM UTCShein reports $99 million first-quarter loss following US tariff changes