French department store group SGM announced on Friday that Shein’s plan to open five new concession stores across France has been postponed. SGM is adjusting its strategy after some customers found that the Chinese e-commerce platform’s prices in physical stores in Paris exceeded their expectations.
The online fast fashion retailer’s first physical store opened last week in the BHV department store in Paris owned by SGM. It attracted a large number of cost-conscious consumers eager for bargains. However, some were surprised to find that the prices here were higher than what they had seen online.
For example, faux leather shorts were priced at 41.03 euros (about $47.70), knit cardigans at 22.99 euros, and jackets from Shein’s higher-end brand MOTF at 64.99 euros.
These prices are comparable to those of Zara, and higher than the prices listed for similar items on Shein’s French website.
An SGM spokesperson told Reuters, “We’d rather delay the opening a few days to sit down and discuss thoroughly, improve the product range, expand the space, and offer lower prices.”
Previously, SGM had announced plans to open Shein stores in regional department stores in the coming weeks, with the first batch scheduled to open in November in Dijon, Reims, and Grenoble, followed by openings in Angers and Limoges in early December.
Shein stated in a release regarding the delayed opening, “We have chosen to temporarily focus our efforts on enhancing the experience offered at the BHV Paris store.” Representatives from SGM and Shein mentioned that a new opening date has not yet been determined.
On the day of Shein’s Paris store opening, the French Ministry of Finance took action, attempting to temporarily suspend the online platform due to the sale of child-like sexual dolls and prohibited weapons, but later halted the suspension proceedings, stating that Shein would continue to be closely monitored.
European Trade Commissioner Maros Sefcovic stated on Thursday that the EU hopes to accelerate imposing tariffs on small packages entering the EU to combat the import of cheap Chinese e-commerce goods. This move is believed to directly impact online platforms like Shein and Temu.
According to Reuters, Sefcovic wrote to EU finance ministers meeting in Brussels on Thursday, proposing to advance the deadline for eliminating the “small value exemption” policy for goods below 150 euros (about $175) to the first quarter of 2026, two years earlier than originally planned. Platforms like Shein have relied on tax-free small package policies to achieve low-cost sales.