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A move by Shein to choose France as the first location to open permanent physical outlets inside famed department stores has sparked a huge uproar by the French retail community.
Until now, Shein, which is regularly accused of unfair competition by flooding the market with discount products, has only opened temporary pop-up stores as part of specific marketing initiatives.
Six stores will open beginning in early November with a shop-in-shop on the sixth floor of BHV Marais, a 160-year-old department store in the heart of Paris, followed later by five more inside Galeries Lafayette department store locations in provincial cities.
The department stores are operated by Société des Grands Magasins (SGM), which acquired BHV Marais from Galeries Lafayette in 2023 and operates the other Galeries Lafayette locations through a franchising arrangement. Shein and SGM said the Shein shops would help department stores capture younger customers and create buzz for French retail.
Frédéric Merlin, SGM’s president, said in a press release, according to Fashion Network, “This project enables us to attract a younger clientele and meet our customers' expectations, while preserving the DNA of our stores and breathing new life into the hearts of our cities, from Paris to the provinces. It's also a major innovation: thanks to its in-depth knowledge of online sales, Shein knows what appeals locally and can therefore tailor the offer in a unique way to each area."
He further described the Shein partnership as a “commitment to revitalizing city centers throughout France, reviving department stores and developing opportunities for French ready-to-wear.”
"In choosing France as the location for our physical retail experiment, we recognize its position as a major fashion capital and embrace its spirit of creativity and excellence," said Donald Tang, executive chairman of Shein. "It is natural that this journey should begin in Paris, at BHV, the cradle of modern commerce.”
Shein Faces Backlash Over Planned Openings
However, the backlash came swift, with Galeries Lafayette saying the move violates its franchise agreement and vowing to block the openings. According to Reuters, Galeries Lafayette said in a statement that it “profoundly disagrees with this decision with regards to the positioning and practices of this ultra-fast fashion brand that is in contradiction with its offer and values.”
Paris Mayor Anne Hidalgo similarly said, in a statement on LinkedIn, that the city “denounces the establishment of Shein” in the local BHV store. “This choice is contrary to the ecological and social ambitions of Paris, which supports responsible and sustainable local commerce,” Hidalgo wrote.
French retailers were already struggling to compete with Zara and H&M when Shein launched in the country in 2015.
Yann Rivoallan, head of fashion retail association Fédération Francaise du Pret-a-Porter, said in a statement, “In front of the Paris City Hall, they are creating the new Shein megastore, which -- after destroying dozens of French brands -- aims to flood our market even more massively with disposable products."
Opening physical stores represents a departure from Shein’s online-only model that relies on shipping orders direct from factories to reduce costs and inventory risks. It comes as the platform is making adjustments following the end of the “de minimis” exemption in the U.S., which allowed packages less than $800 to enter the U.S. tariff-free.
The European Union is planning to do the same.
Shein has also faced frequent criticism over allegations of poor working conditions and questionable supply chain practices. In June, the French Parliament passed a law making Shein and Temu subject to environmental surcharges, advertising bans, and mandatory sustainability disclosures in a response to fashion overproduction and textile waste.