Investing.com-- China’s government is pressuring fast-fashion giant Shein to slow efforts to shift production out of the country, as Beijing seeks to curb an exodus of manufacturers triggered by new U.S. tariffs, Bloomberg reported on Tuesday citing people familiar with the matter.
The Ministry of Commerce has privately urged Shein and other firms to reconsider diversifying supply chains abroad, particularly after U.S. President Donald Trump’s recent announcement of sweeping reciprocal tariffs, the Bloomberg report stated.
As a result, Shein has reportedly suspended supplier visits to factories in Vietnam and other Southeast Asian nations. The move underscores China’s growing concerns over job losses and economic strain as exporters seek to bypass rising trade barriers, according to the report.
The government push also reflects a deepening divide between Beijing’s industrial policy and exporters facing pressure to cut costs amid fading tariff exemptions, Bloomberg reported.