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Shein Defies EU Backlash with Bold Xcelerator Program Launch

Shein Defies EU Backlash with Bold Xcelerator Program Launch

Author:
tipranks
Published:
2025-09-17 11:51:06
11
2

Shein charges ahead with its Xcelerator initiative—ignoring mounting pressure from European regulators and industry giants.

Breaking Through the Noise

The fast-fashion disruptor isn't slowing down. While traditional retailers lobby for stricter oversight, Shein's rolling out an aggressive accelerator aimed at turbocharging innovation and supply chain partnerships. No approvals asked.

Finance folks are already placing bets—some calling it a masterstroke, others another hype-driven pivot destined for a correction. Because nothing says sustainable growth like burning regulatory bridges and banking on viral trends.

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Headquartered in Singapore, Shein is a global fast-fashion company, known for its trend-driven apparel and rapid supply chain.

More About Shein’s Xcelerator Program

Shein’s Xcelerator program is an initiative that helps new and established fashion brands grow and reach global markets. It gives partners access to Shein’s fast supply chain, international shipping network, and millions of shoppers in more than 160 countries.

The Xcelerator officially launched on September 16, 2025, starting in the UK after a successful pilot run in August 2023 with about 20 brands. Shein has also expanded the program to France and China, teaming up with local labels like French retailer Pimkie to boost their online presence and global reach.

Moving forward, Shein plans to bring the Xcelerator to more countries, continuing its goal of helping fashion brands grow worldwide.

European Groups Hit Back

European fashion and textile groups are pushing back hard against Shein’s expansion. Notably, 22 industry organizations urged the European Union to fast-track legislation to curb the company’s growth.

These groups warned that Shein and its rival PDD Holdings’ (PDD) Temu already account for about 5% of Europe’s total fashion sales and 20% of online sales. Meanwhile, profits at Shein’s UK arm jumped nearly 60% last year, with sales topping £2 billion for the first time. In recent months, both Shein and Temu have shifted more focus to Europe as conditions in their key market, the U.S., have grown tougher due to President Donald Trump’s tariffs and the removal of the de minimis tax exemption for low-value parcels from China and Hong Kong.

Furthermore, the groups also accused ultra-fast-fashion players of dodging taxes, skirting customs duties, and infringing on intellectual-property rights, calling for tougher EU oversight.

Which U.S. Fashion Retailer Do Analysts Like Best?

Shein is privately held, so investors can’t buy its shares directly. But those interested in the fashion sector can explore publicly traded U.S. retailers such as Gap (GAP), American Eagle (AEO), Abercrombie & Fitch (ANF), Levi Strauss & Co. (LEVI), and others. Users should conduct further research on these stocks before making any investment decisions. Below is the screenshot for reference.

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