Shein U.S. Q1 Sales Fall 14% as Tariff-Driven Price Hikes Bite

2 articles · Updated · CNBC · Aug 10

Shein told IPO investors its first-quarter U.S. sales fell 14% from a year earlier, underscoring pressure on its core low-price model ahead of a planned Hong Kong listing.
Price increases meant to offset new tariffs drove the weakness, the company said in listing documents, showing how trade costs are now hitting demand rather than just margins.
Europe, Shein's largest market, could face similar pressure after the European Union changed its duty-free shipping framework, extending the tariff threat beyond the U.S.
The disclosure adds to earlier signs of strain: Shein previously reported a $99 million quarterly loss as tariffs disrupted both U.S. and European sales.