Lawmakers call on SEC to asses Shein supply chain before IPO
A group of lawmakers are asking the Securities and Exchange Commission to stop an initial public offering by the fast fashion retailer Shein until it verifies it does not user forced labor from China's predominantly Muslim Uyghur population
NEW YORK (AP) — A bipartisan group of more than a two dozen lawmakers is asking the Securities and Exchange Commission to put the brakes on an initial public offering by Chinese fast fashion retailer Shein until it verifies it does not use forced labor from the country’s predominantly Muslim Uyghur population.
Shein hasn’t said whether it plans to go public this year, but some news outlets have reported in the past few months that the company is raising money in anticipation of a U.S. listing in the second half of this year.
The letter also comes a few weeks after the launch of an anonymous coalition of "like-minded individuals and businesses” called “Shut Down Shein,” which is aiming to increase scrutiny on the company in Washington and ultimately get it booted out of the U.S. marketplace.
Chapin Fay, a managing director at Actum, a consultancy firm that works with the group, said he's met with congressional offices to discuss Shein. Fay declined to disclose who funds “Shut Down Shein," but said its members include American brands and human rights organizations.
