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The fast-fashion retailer said raising prices to offset U.S. tariff costs hurt revenue, and similar moves in Europe could follow
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Shein warned in IPO filings that the same tariff-driven sales decline battering its U.S. business could spread to Europe, its largest market, as the company prepares for a Hong Kong stock listing, according to CNBC.
In documents submitted ahead of the offering, Shein disclosed that starting in May 2025 it shifted most of the additional tariff burden onto consumers via price increases, a move the company said weighed on its U.S. net revenues through the rest of that year. U.S. revenue slid more than 3% from 2024 to 2025, and the decline steepened to 14% when the most recent first quarter is measured against the same three months of the prior year.
