Source: Sharecast
The fast fashion brand was expected to debut in London in the first half of 2025.
However, its suspected valuation was dealt a blow last week when the Trump administration said it would end the section 321 de minimis exemption. Under the rule, which has helped Shein keep prices in the US low, shipments worth less than $800 are exempt from import duties.
Shein and rival Temu account for 30% of all de minimis shipments to the US, according to a 2023 congressional committee report on China.
It was reported shortly afterwards that the move could see Shein's initial public offering valuation slashed to around $50bn - nearly a quarter lower than the value assigned to it during its most recent fundraising in 2023.
But it is now expected to delay the IPO entirely.
According to the Financial Times, Shein had previously told investors during roadshows that the listing could happen as soon as Easter 2025. However, it is now expected to be pushed back into the second half, the newspaper reported, due to the possible changes to the de minimis rule.
The FT cited three unnamed people familiar with the process.
Shein, which was founded in China and is based in Singapore, has yet to comment on any aspect of the IPO.
It first emerged it planned to list in London after it lodged papers with UK regulators.
Closure of the de minimis rule has been temporarily paused, after parcels piled up the border. Trump remains committed to closing the loophole, however, and said the plans would be delayed only until "adequate systems" were in place to process and collect import taxes.
Shein’s IPO has long-been controversial, due to concerns about poor working conditions in its supply chain and the environmental harm caused by fast fashion.
Shein denies all accusations against it. It has also insisted that its success is due to efficient supply chains and not tax exemptions.
