U.S. states ask SEC to ensure Shein complies with forced labor rules

Move adds pressure on retailer as China hawks in Congress target Chinese firms

20230829 Shein SEC RC2XG2AG2X1Z

Shein has moved its headquarters to Singapore but manufactures most of its products in China. © Reuters

NEW YORK (Reuters) -- Republican attorneys general from 16 U.S. states have asked the Securities and Exchange Commission to audit China-founded fast-fashion retailer Shein's supply chain for the use of forced labor ahead of its potential initial public offering.

Amid rising friction between Washington and Beijing, the letter, sent to the SEC last week, added to pressure on Shein as China hawks in Congress target Chinese firms that do not align with U.S. foreign policy goals.

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