Shein and Temu outpace global retail giants in South Africa's fashion market
Shein entered the market in 2020, followed by Temu in 2024. Both have disrupted the local retail landscape through aggressive pricing, strategic marketing, and using tax loopholes that initially gave them a competitive edge over local retailers.
Their appeal to price-sensitive consumers has impacted local retailers, who urged regulators last year to close the tax loophole, which eventually ended last year.
The Localisation Support Fund (LSF) report found that domestic retailers' market share of CTFL declined from 75.3% in 2011 to 74% in 2024. Meanwhile, international brick-and-mortar brands like H&M, Zara, and Cotton On hold a combined 3.4% share.
Shein and Temu now command a combined 3.6% share of the CTFL market, and 37.1% of South Africa's e-commerce CTFL market, with Shein alone accounting for 28% of online ladies' CTFL sales.
"Those (international)retailers have acquired this market share over a period of 13 years, and Shein and Temu have managed to match and surpass this in just a five-year period," said Sean Mercer, principal consultant at consulting firm BMA.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
First Post
an hour ago
- First Post
Resuming flights, visas and more… Are India and China inching toward an all-out thaw?
Trump tariffs and geopolitics are pushing India and China closer. But will this result in a complete reconciliation between the two Asian giants? There are signs Indian school students pose with their faces painted with India's (R) and China's national flags. Relations between the two countries are on the mend. File image/AFP The world is in a constant flux. Nations that were once friends turn foe, foes become friends — and China and India aren't immune from this. After years of bickering and contestation, they are now exploring yet another round of engagement. At least, the recent steps taken by the two countries indicate a thaw in ties. The most recent of these being India and China set to resume direct flights as soon as September, with the formal announcement to come around the time when Prime Minister Narendra Modi visits the neighbour at the end of August. STORY CONTINUES BELOW THIS AD We take a closer look at all the indicators that signal an all-out thaw and if this current rapprochement is merely opportunistic and temporary? India-China flights to resume soon On Tuesday evening (August 12) came the news that India and China are preparing to restart direct passenger flights as early as next month. News agency Reuters said that the Indian government has asked carriers such as Air India and IndiGo to be ready to operate flights to China at short notice. Even Bloomberg reporting the same said that a formal announcement on the same would be made when Prime Minister Modi travels to China for the Shanghai Cooperation Organisation (SCO) summit at the end of August. Air China planes sit on the tarmac at Beijing Airport in Beijing, China. File image/AP Passenger flights between the two neighbouring countries were suspended after the Covid-19 pandemic, forcing travellers from India to China to pass through hubs like through Hong Kong or Singapore. Before the suspension, India airlines such as Air India and IndiGo as well as Chinese airlines such as Air China, China Southern and China eastern ran services between the key cities of both countries. Interestingly, this isn't the first time that India and China have attempted to restart direct flights. Such an endeavour was made in January as well as June, but stalled owing to diplomatic tensions. Signs of an all-out thaw between India and China The resuming of flights is just another indicator that India and China ties are back on following the Galwan clash of 2020. In a first since 2021, a cargo of Indian diesel is also heading to China. According to a Bloomberg report, a vessel sailed from the Nayara's Vadinar terminal with about 496,000 barrels of ultra-low sulphur diesel on July 18. Moreover, earlier this month, it was announced that PM Modi would be attending the SCO summit in China's northern city of Tianjin between August 31 and September 1. The trip would be Modi's first to China in seven years and pave the way for him to meet President Xi Jinping for the first time since they came face to face in Russia 10 months ago. STORY CONTINUES BELOW THIS AD PM Modi and China's Xi Jinping are expected to meet at the SCO summit later this month. File image/AP But that's not all. When US President Donald Trump announced an additional 25 per cent tariff on India for purchasing Russian oil, China expressed its support for New Delhi, saying, 'India's sovereignty is non-negotiable and its foreign policy choices cannot be manipulated by other countries, no matter how significant their own ties with India are.' The spokesperson of the Chinese Embassy in India also attached an illustration showing an elephant, representing India, and a baseball bat, representing the US tariff. 'India's sovereignty is non-negotiable and its foreign policy choices cannot be manipulated by other countries, no matter how significant their own ties with India are.'----Quoted from @the_hindu — Yu Jing (@ChinaSpox_India) August 6, 2025 There's also the fact that India has resumed issuing tourist visas to Chinese citizens from July 24, following a five-year gap. Additionally, India and China have resumed the Kailash Mansarovar yatra. The diplomatic thaw is also feeding economic hopes. In the last week of July, India's Finance Minister Nirmala Sitharaman hinted a possible revival of India-China business relations, saying, 'How far it will go is something we will have to wait and see.' But all of this only occurred after India and China reached an agreement on patrolling arrangements and disengagement of troops along the Line of Actual Control last October. The two nations agreed upon a border plan — the Indian Army has secured the ability to patrol key points along the border, and Indian herders were able to resume grazing. Last October, India and China reached an agreement on patrolling arrangements and disengagement of troops along the Line of Actual Control. File image/AFP The Trump factor But what has motivated India and China's rapprochement? The answer would be US President Donald Trump and geopolitics, especially the belief in New Delhi that Washington has shifted its position on Pakistan. As a report by Foreign Policy noted that the Trump administration may be simultaneously moving closer to Beijing and Islamabad in order to peel Pakistan away from China. New Delhi, in turn, hopes that with its own pivot to China, it can exploit the first of these trends while preempting any negative fallout from the second. STORY CONTINUES BELOW THIS AD Even within the Chinese camp there's a suspicion over the Washington-Islamabad proximity. Questions are being asked if Washington is trying to disrupt the China-Pakistan Economic Corridor or gain information on the efficacy of Chinese weapon systems in Pakistan's arsenal. US President Donald Trump's tariff stance could dramatically change ties between India and China. File image/AFP The fact that Trump has been going hard on India with its heavy tariffs has also led India to do a rethink on its ties with Washington. Trump has slapped a total tariff of 50 per cent on Indian goods, while the US president on Monday (August 11) extending the tariff truce with Beijing for another 90 days, staving off triple-digit duties on Chinese goods. Even Biswajit Dhar, an economics professor at the Council for Social Development in Delhi, told South China Morning Post, 'I think he has pushed India and China closer together,' adding that US protectionism was a common concern for both Delhi and Beijing. Challenges remain But this rapprochement between India and China is fraught with complications. There still remains unresolved issues at the LAC. Additionally, China's close relations with India's arch-rival Pakistan have been a source of concern for Delhi. China and Pakistan describe each other as 'all-weather strategic cooperative partners' with an ''ironclad'' friendship between them. This friendship extends to the military and nuclear domain – which India has repeatedly flagged. In fact, Operation Sindoor saw Pakistan use several Chinese weapons — Islamabad used Chinese-origin fighter jets, Chinese PL-15 missiles, and drones. STORY CONTINUES BELOW THIS AD While India and China are pushing forward together, there are obstacles in their way. File image/PTI There's also China's construction of a mega dam on the Yarlung Tsangpo River, which becomes the Brahmaputra upon reaching India, that has stoked anxieties in Delhi about water security. And this year, Beijing is also expected to begin work on a railway line linking Hotan in Xinjiang to Shigatse in Tibet this year. The artery is likely to cross from Aksai Chin and close to the G219 national highway, near the Line of Actual Control. But as Dominic Rohner, an economics professor at the Geneva Graduate Institute and co-director of its Hoffmann Centre for Global Sustainability, noted to the South China Morning Post that the motivation for rapprochement was obvious. 'There are clear incentives to increase bilateral ties, yielding both economic and political benefits,' he said. 'While it is difficult to forecast what will happen, it is in these countries' interest to foster ties.' With inputs from agencies
Time of India
2 hours ago
- Time of India
Gold price prediction today: Where are gold rates headed in the near-term? Here's the outlook
Gold price prediction: Spot Gold could continue to find resistance in the zone of $ 3,385 – 3,410 per oz (CMP USD 3,350/oz) on the higher side. (AI image) Gold price prediction today: Upside in gold rates is expected to be limited with the US-China 90-day trade truce extended and other developments on the Trump trade war front. Maneesh Sharma, AVP - Commodities & Currencies, Anand Rathi Shares and Stock Brokers shares his views and recommendations for gold investors: Gold prices turned volatile as a surge seen on Friday on COMEX on news of possible tariffs on imports of one-kilogram gold bars in Switzerland, threatened more turmoil in the global bullion market. But prices retreated quickly from those record highs in the current week following the White House's announcement to address 'misinformation' surrounding potential import tariffs on gold bars. The move came amid confusion in the precious metals industry and fears that a key segment of global bullion trade could be disrupted. Additionally US & China confirmed a 90-day extension of their trade truce this week, after several rounds of 'productive' negotiation. Developments in US-China trade negotiations generally trended in a positive direction in recent weeks. But recent history proved trade developments can remain prolonged this year. Moving ahead trade developments in US - India remains to be watched out while on the macro front Inflationary numbers (PPI) from India & US due remain crucial to be watched to gauge trajectory of interest rate cuts in coming months. Gold seemed to lack bullish conviction during the start of the week as traders also opted to wait for the release of the US consumer inflation figures. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Dementia Has Been Linked To a Common Habit. Do You Do It? Memory Health Click Here Undo This crucial data earlier had played a key role in influencing expectations about the Federal Reserve's (Fed) rate-cut path. Heading into the key data risk ahead, the growing acceptance that the US central bank will lower borrowing costs in September kept the USD bulls on the defensive during the start of the week. Meanwhile traders continue to price in more than 90% possibility of a 25 bps rate cut in September. Gold Price Outlook Gold Weekly View: Volatile MCX Trading range (Oct Futures): Rs 99,200 – 1,01,600/10 gms. (CMP Rs 1,00,215/10 gm) Overall the latest optimism over an extension of the US-China trade truce and the US-Russia summit aimed at ending the war in Ukraine could cap the safe-haven pair major upside warranting some caution as Spot Gold could continue to find resistance in the zone of $ 3,385 – 3,410 per oz (CMP USD 3,350/oz) on the higher side. After the release of US CPI report which remains lighter than expected not enough to provide clarity on impact of higher tariffs despite slight rise in Core CPI numbers, attention could now also shift towards Producer Price Index (PPI) report (more closely followed by US Fed) due on Thursday, along with Retail Sales & the preliminary August reading of the Michigan Consumer Sentiment Index. These figures would be closely watched further while gold prices could witness increased volatility towards the end of the week. Stay informed with the latest business news, updates on bank holidays , public holidays , current gold rate and silver price .
Hans India
2 hours ago
- Hans India
Mkts back in red as investors stay on sidelines
Mumbai: Benchmark indices Sensex and Nifty ended lower in a highly volatile trade on Tues-day dragged down by blue-chip bank stocks and caution ahead of domestic and US inflation data. The 30-share BSE Sensex dropped 368.49 points or 0.46 per cent to settle at 80,235.59. During the day, it hit a high of 80,997.67 and a low of 80,164.36, gyrating 833.31 points. The 50-share NSE Nifty went lower by 97.65 points or 0.40 per cent to 24,487.40. Investors are also awaiting cues from the US-Russia talks on August 15. From the Sensex firms, Bajaj Finance, Trent, Hindustan Unilever, HDFC Bank, Eternal, Bajaj Finserv, ICICI Bank, and Bharat Electronics were among the laggards. However, Maruti, Tech Mahindra, Mahindra & Mahindra and NTPC were among the major gainers. 'The national market reacted with volatility to the ongoing developments in global trade tariffs, reflecting caution following the extension of the US-China tariff truce and ahead of key inflation data due later today. The US inflation figures with any signs of tariff-related impact could influ-ence the Fed's policy stance,' Vinod Nair, Head of Research, Geojit Investments Ltd, said.
