Shein, the global fast-fashion e-commerce giant, is setting its sights on a major manufacturing expansion in India through its partnership with Reliance Retail. The plan: to establish a vast local supplier network and start exporting India-made Shein-branded apparel to international markets within the next six to twelve months, according to sources familiar with the matter.
This move comes as Shein looks to diversify its supply chain away from China amid rising geopolitical tensions and increasing tariffs. The strategy will also leverage India’s growing importance in global fashion sourcing, a trend driven by international brands seeking alternatives to Chinese manufacturing.
The Reliance-Shein alliance, formalized earlier this year, has already laid the groundwork for Shein’s return to India following its 2020 ban in the country. Now, with an aggressive supplier expansion plan in place, the partnership is poised to transform India into a key global production hub for the fast-fashion brand.
Building a Vast Supplier Base in India
Two people involved in the project revealed that the current Indian supplier base of approximately 150 garment manufacturers is expected to scale up dramatically. The goal is to bring 1,000 Indian factories on board within a year. These suppliers will not only serve the growing domestic market but will also produce garments for Shein’s international e-commerce platforms.
Initial exports of India-made Shein apparel will target the brand’s U.S. and British websites, which represent two of its largest markets. Discussions about this expansion have been ongoing for several months. While the target timeline is six to twelve months, actual rollout will depend on the pace at which new suppliers come online and meet Shein’s stringent quality and efficiency standards.
Shein, originally founded in China but now headquartered in Singapore, has faced mounting challenges in its largest market, the United States. Recent U.S. tariffs on low-value Chinese e-commerce imports have forced the brand to rethink its heavy reliance on China-based suppliers. This has accelerated its efforts to diversify manufacturing to countries like India, Turkey, and Brazil. The Indian expansion aligns with Shein’s broader strategy to mitigate the impact of U.S.-China trade frictions and ensure smoother cross-border operations. By producing garments in India, Shein aims to bypass new tariff barriers and maintain its competitive pricing in global markets.
Shein first entered the Indian market in 2018, but its app was banned in 2020 amid broader government actions targeting Chinese-linked firms. The brand staged a comeback in February 2025 under a licensing deal with Reliance Retail, a unit of Reliance Industries. Reliance now operates SheinIndia.in, which sells Shein-branded apparel manufactured locally. Unlike Shein’s global platforms that primarily source from China, the Indian website focuses on garments made in Indian factories. This localization approach is helping Shein re-establish its presence in India while contributing to the country’s textile and apparel industry. Reliance Retail, controlled by Mukesh Ambani—Asia’s wealthiest individual—has already contracted 150 Indian garment manufacturers and is in active discussions with 400 more. The ultimate goal is to create a robust network of 1,000 suppliers capable of meeting both domestic and international demand.
Targeting Global Sales with India-Made Fashion
As per industry insiders, the partnership is designed to turn India into a key global supply base for Shein. Initially, India-made garments will be listed on Shein’s U.S. and U.K. platforms, two of its most lucrative markets. Over time, the company plans to expand exports to other global websites. The planned timeline of six to twelve months for export-ready production is ambitious but achievable, provided the supplier expansion progresses smoothly. Factors such as fabric sourcing, machinery upgrades, and compliance with Shein’s on-demand manufacturing model will play a critical role in determining the actual launch date.
One of the key elements of Shein’s success has been its innovative on-demand manufacturing model. Unlike traditional fast fashion, which produces large volumes of inventory upfront, Shein tests new designs by producing as few as 100 pieces. Designs that perform well are scaled up rapidly, allowing the brand to stay highly responsive to consumer trends. Reliance Retail is working closely with its Indian suppliers to replicate this model. Executives from the company recently traveled to China to study Shein’s cutting-edge supply chain operations, data-driven design processes, and agile marketing strategies. Manish Aziz, Assistant Vice President at Shein India (Reliance Retail), highlighted in a LinkedIn post that the visit underscored the remarkable scale and speed of Shein’s global operations. The insights gained are now being used to help Indian suppliers adopt similar capabilities.
Challenges in Fabric Sourcing and Production Scaling
While the partnership holds significant promise, certain challenges remain. India has traditionally excelled in natural fiber textiles such as cotton, but there is a relative lack of expertise in synthetic fiber-based fabrics—a critical component of Shein’s global product mix. To address this, Reliance plans to collaborate with new suppliers to source appropriate fabrics and import necessary machinery. The company will also invest in upgrading supplier capabilities to meet Shein’s stringent quality and efficiency benchmarks.
This investment-driven approach aims to build a sustainable, scalable manufacturing ecosystem in India that can support Shein’s global ambitions. Shein’s India expansion is part of a larger trend that sees global fashion brands increasingly turning to India for sourcing. The ongoing U.S.-China trade war has accelerated this shift, prompting companies like Walmart and others to diversify their supplier networks. India’s skilled labor force, cost competitiveness, and improving infrastructure make it an attractive alternative. The Shein-Reliance partnership is poised to benefit from these macro trends, potentially positioning India as a major hub in the global fast-fashion supply chain.
Despite its recent relaunch, Shein has already seen a strong response from Indian consumers. The Shein India app has been downloaded 2.7 million times across Apple and Google Play stores, with an impressive 120% month-on-month growth, according to data from Sensor Tower. Product offerings in the first four months reached around 12,000 designs—still a small fraction of the 600,000 items listed on Shein’s U.S. site. In terms of pricing, Indian consumers are seeing attractive deals, with women’s dresses starting at ₹349 (approximately $4), comparable to prices on Shein’s U.S. platform. Reliance Retail is also evaluating how to replicate Shein’s global best-sellers in India at lower costs, leveraging local manufacturing advantages.
The Shein partnership is part of Reliance’s broader strategy to build a dominant presence in India’s fashion retail sector. The company already collaborates with a range of global brands, including Brooks Brothers and Marks & Spencer, and operates its own e-commerce platform Ajio. Reliance’s retail arm competes directly with giants like Amazon and Walmart-owned Flipkart, as well as domestic players such as Tata’s Zudio. By adding Shein to its portfolio, Reliance gains access to a highly dynamic fast-fashion brand with strong appeal among younger consumers.
A Collaborative Path to Global Expansion
Reliance’s proactive approach to supplier development is key to the success of this initiative. By helping Indian manufacturers upgrade their capabilities, the company aims to create a world-class supply chain that can serve both the Indian market and Shein’s international customer base.
Sources indicate that Reliance will continue to invest in supplier training, fabric sourcing, and machinery imports to build a competitive manufacturing ecosystem. This collaborative model not only strengthens Reliance’s position in the Indian fashion market but also enhances India’s standing as a global apparel manufacturing hub.
Shein’s strategic partnership with Reliance Retail marks a significant shift in its global manufacturing strategy. As the company works to diversify its supply chain beyond China, India is emerging as a key player in its global operations.
The planned expansion to 1,000 Indian suppliers within a year and the commencement of exports to major international markets represent a bold new chapter for Shein in India. At the same time, Reliance stands to gain valuable experience and capabilities in the fast-evolving world of digital-first, on-demand fashion retail.
This evolving partnership highlights the growing synergy between India’s manufacturing potential and global fashion industry trends. As the Reliance-Shein collaboration progresses, it could reshape how fast fashion is produced and distributed on a global scale.
