Shein to Open First Permanent Stores in France, Stirring Retail Backlash

Web Reporter
4 Min Read

Online fast-fashion giant Shein is set to open its first permanent physical stores in France this November, partnering with department store operator Société des Grands Magasins (SGM). The move, however, has provoked sharp criticism from French retailers and fashion associations, reigniting debate over the impact of ultra-fast fashion on the domestic market.

The first outlet will open on the sixth floor of the BHV department store in central Paris, followed by locations in Galeries Lafayette department stores in Dijon, Grenoble, Reims, Limoges, and Angers. Until now, Shein’s presence in France had been limited to short-term pop-up shops aimed at marketing campaigns rather than long-term retail operations.

SGM president Frédéric Merlin said the decision would attract younger shoppers into department stores. “A customer might buy a Shein item and a designer handbag on the same day,” he remarked, underscoring the appeal of mixing mass-market and luxury fashion under one roof.

But Galeries Lafayette, which sold the stores now operated by SGM under a franchise agreement, strongly opposes the plan. The group said the deal violates contractual terms and pledged to block the move. “Galeries Lafayette 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,” the retailer said in a statement.

Shein, known for €12 dresses and €20 jeans, already faces growing political and regulatory scrutiny in France. Lawmakers have backed draft legislation aimed at curbing fast fashion, including a potential advertising ban on companies such as Shein. Critics accuse the retailer of flooding the market with disposable products and accelerating the decline of domestic brands.

“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,” said Yann Rivoallan, head of the Fédération Française du Prêt-à-Porter.

France’s struggling apparel industry has already seen several fast-fashion retailers, including Jennyfer and Naf Naf, enter insolvency proceedings this year as competition intensifies. Zara and H&M remain strong competitors, but Shein’s rock-bottom prices and direct-to-consumer shipping model, which bypasses traditional customs duties on low-value parcels, have further disrupted the sector.

Opening permanent stores marks a significant departure from Shein’s online-only strategy. The company’s model of shipping directly from factories in China has kept unsold inventory low and costs down. Physical stores will require holding stock on-site and add operational expenses.

The timing comes as Shein adapts to changing trade rules. The United States is phasing out duty exemptions for low-value imports, and the European Union is preparing to follow suit. Establishing physical outlets in Europe may help offset those headwinds while strengthening the brand’s presence.

Executive chairman Donald Tang has previously said Shein’s popularity extends beyond major cities, particularly in provincial and rural areas where affordable fashion options are limited. The French launch is expected to test whether the online retailer can replicate its digital success in a more traditional retail format.

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