Why firms are pivoting from ‘China-shedding’ to ‘China-maxxing’

SOME of China’s most successful global companies have spent years masking their origins to sidestep Western scrutiny. But that approach, called “China-shedding”, has run its course – at least for the bigger players.

The surprise homecoming of online retailer Shein’s founder should be the final nail in the coffin for the strategy. In February, Xu Yangtian, who has been rarely photographed, took to the stage in the southern Chinese province of Guangdong to thank the local government and suppliers for helping the company become a retail juggernaut.

Shein is now the biggest player in the global market for bargain-priced apparel, according to GlobalData, ahead of the likes of Primark and Target. Private market research firm Sacra estimates its 2025 sales at US$60 billion, which would be more than Hennes & Mauritz and Inditex’s Zara combined.