Inside the Factories of Shein’s Success
In Guangzhou’s bustling Panyu neighborhood, the hum of sewing machines echoes day and night. Known as the “Shein village,” this area houses around 5,000 factories supplying the global fast-fashion giant. Workers produce T-shirts, blouses, pants, and swimwear shipped to over 150 countries.
A 49-year-old worker from Jiangxi described the relentless hours: “We work 10 to 12 hours daily. Sundays are three hours less.” Others revealed they labor up to 75 hours weekly, often violating Chinese labor laws, which cap the workweek at 44 hours. Most workers only take one day off per month.
Many workers are paid by the piece, earning as little as 1–2 yuan (under £0.25) per simple item like a T-shirt. Those who manage to produce a dozen pieces an hour can earn up to 10,000 yuan monthly, but wages as low as 4,000 yuan are common. Labor markets in Panyu teem with job-seekers negotiating short-term contracts to meet Shein’s demand spikes.
A Fast-Fashion Behemoth Under Scrutiny
Shein’s meteoric rise to a £36bn valuation has drawn international attention, including criticism. Allegations of forced labor and poor working conditions have plagued the company. Last year, it admitted to discovering underage workers in its supply chain.
Shein denies wrongdoing and claims to enforce fair treatment through audits and a supplier code of conduct. Yet, advocacy groups highlight the illegal and exploitative nature of its supply chain practices. A report by Public Eye noted excessive overtime and wages far below living standards.
Shein thrives on volume and speed. Its supply chain, located entirely in China, enables rapid production. Factories churn out goods based on an algorithm that tracks shopper behavior. If a product trends, production ramps up, and workers face even longer hours.
Despite these challenges, Shein’s suppliers often praise the company’s reliability. “Payments are always on time,” said Guo Qing E, a factory owner. However, Shein’s fixed pricing forces factories to cut costs, impacting wages and working conditions.
The Global Impact of Shein’s Supply Chain
Shein’s headquarters may now be in Singapore, but its production relies on China’s unparalleled supply chain. Critics, including U.S. politicians, have raised concerns about links to Xinjiang cotton, alleged to involve forced labor. Beijing denies these claims, but Shein faces calls for greater transparency.
For factory owners, Shein offers both opportunities and challenges. One owner recalled better profits before working with Shein but acknowledged the platform’s vast order volumes. “Shein controls the price,” they said. “We have to find ways to reduce costs.”
Workers, meanwhile, navigate grueling hours and low pay, balancing financial needs with pride in their contribution. “This is what we can offer the world,” said a supervisor from Guangdong. For some, Shein represents economic stability, even if it comes at a personal cost.
As Shein eyes a public listing on the London Stock Exchange, it must address ongoing scrutiny. Sheng Lu, a fashion industry professor, believes transparency is key. “Releasing the factory list and supply chain details will be essential,” he said.
The sewing machines of Panyu rarely stop, fueled by Shein’s relentless pursuit of fast fashion dominance. In cities worldwide, shoppers hunt for bargains, unaware of the long hours behind their £10 dresses. Yet for those in Guangzhou, the rhythm of the machines is both a livelihood and a testament to their resilience.