SHEIN (希音) has confidentially filed a new listing application with the Hong Kong Stock Exchange, according to people familiar with the matter, marking the company’s latest attempt to go public after several years of regulatory hurdles in major international markets.
The filing, submitted in late June with Goldman Sachs and Morgan Stanley serving as advisers, reportedly targets a valuation of around US$40 billion. While significantly below the company’s peak valuation of US$100 billion in 2022, the move reflects SHEIN’s determination to secure access to public capital markets amid a rapidly changing global regulatory environment.
The Hong Kong application follows multiple unsuccessful listing efforts. SHEIN previously explored IPO plans in both New York and London but encountered regulatory challenges that ultimately prevented those transactions from moving forward. A previous attempt to pursue a Hong Kong listing also failed to advance.
Regulatory scrutiny remains one of the key issues surrounding the company. Questions regarding shareholder disclosure and corporate governance have drawn attention from regulators across several jurisdictions. In addition, SHEIN has faced increasing compliance pressure in Europe, where authorities have intensified oversight of consumer protection, environmental standards, and data privacy practices.
The timing of the latest filing is particularly notable. It comes just days before the European Union’s elimination of the €150 de minimis duty exemption on July 1, a policy shift that could significantly reshape the economics of cross-border e-commerce.
For years, SHEIN built its global success on a direct-to-consumer model that connected Chinese manufacturing bases with overseas consumers through individual parcel shipments. The approach allowed the company to leverage efficient supply chains and favorable customs treatment to offer highly competitive pricing across major international markets.
The new EU rules introduce additional duties and processing fees on low-value imports, reducing some of the cost advantages that helped fuel the rapid growth of platforms such as SHEIN. The policy change is widely viewed as part of a broader global trend toward tighter regulation of cross-border e-commerce and greater scrutiny of international supply chains.
As a result, investors are increasingly reassessing how cross-border e-commerce companies should be valued. Businesses once viewed primarily as high-growth technology platforms are now being evaluated through a more traditional retail lens that places greater emphasis on logistics costs, regulatory exposure, and long-term profitability.
The shift extends beyond SHEIN. Other Chinese cross-border e-commerce players are also navigating a more complex operating environment as governments seek to strengthen customs enforcement, consumer protections, and local market oversight.
SHEIN’s latest IPO attempt therefore represents more than a capital markets event. It highlights a broader transition underway in China’s cross-border e-commerce industry.
The first generation of globalization was driven largely by manufacturing efficiency, digital marketing, and direct international shipping. The next phase is likely to depend on a different set of capabilities, including localized operations, regulatory compliance, regional fulfillment networks, and stronger engagement with overseas stakeholders.
For Chinese companies expanding abroad, the question is no longer simply how to reach global consumers. Increasingly, success depends on whether businesses can build sustainable international operations that withstand evolving regulatory requirements and growing public scrutiny.
Whether investors ultimately embrace SHEIN’s targeted valuation remains uncertain. What is clear, however, is that the company’s Hong Kong listing effort has become a symbol of a larger transformation taking place across China’s global e-commerce sector—one in which scale and growth remain important, but compliance, localization, and long-term resilience are becoming equally critical.