"It's collaborating with the devil": we explain why the partnership between Pimkie and Shein is causing a stir

They accuse the brand of crossing a red line. The Federation of Clothing Brands, a member of the Alliance du Commerce, announced in a press release on Friday, September 19, that it had "unanimously" decided to exclude Pimkie after the French brand's partnership with Shein . By securing the support of the much-maligned online discount clothing giant, a first for a French company, this struggling brand has sparked strong reactions throughout the retail sector. As the controversy swells, franceinfo summarizes the issues surrounding this less-than-consensual alliance.
A partnership to develop internationallyOn Tuesday, Chinese ultra-fast-fashion platform Shein revealed that Pimkie will benefit from its ecosystem to expand, particularly internationally, through a program called Shein Xcelerator. Its clothing will be available on the Shein platform, making it accessible in 160 countries. Pimkie will also benefit from logistical support, and will thus be able to take advantage of the Chinese group's on-demand production system and its help with processing online orders.
An enticing prospect for a company that was once in serious financial difficulty, and which has undergone two redundancy plans and a safeguard procedure in recent years. Pimkie now has nearly 200 points of sale in France, excluding overseas territories, and employs more than 700 people.
The announcement of this partnership comes in a particular context: on the same day, the clothing federations signed, with other European organizations in the sector (Italy, Spain, Germany, Greece, Belgium, Portugal, etc.), an open letter addressed to the European Commission to ask it to put an end "without delay" to the rise of ultra-ephemeral fashion.
An alliance criticized from all sidesEnvironmental consequences, unfair competition... The grievances leveled by clothing industry players against Shein and the new type of partnership established with Pimkie are numerous. The Chinese giant's model "is based on circumventing rules and unfair competition to the detriment of brands present and creating jobs in France" and "environmental practices [which] also go against the entire transformation strategy of the sector" , denounce the Federation of Clothing Brands and the Alliance du Commerce. By associating itself with them, "Pimkie has deviated from the collective commitments made by the sector", they judge. Shein, for its part, " is trying to buy itself respectability, but in reality, it is weakening all of our businesses," comments Bernard Cherqui, president of the two organizations.
The Federation of Commerce and Distribution (FCD), which brings together most of the major retail chains, criticizes a choice which "amounts to reaching out to players whose model makes jobs precarious, empties city centers and weakens the textile industry and French and European commerce."
"This choice is not a rescue, but a surrender."
The Federation of Commerce and Distributionin a press release
Dominique Schelcher, CEO of Coopérative U, called the association " scandalous." "It's collaborating with the devil," he argued. "We're starting to think about a class action against these players," whose products are insufficiently regulated, he threatened. Philippe Palazzi, CEO of the Casino group, is calling for "a moratorium" to "temporarily ban these platforms until Europe legislates, to prevent commercial wastelands in our towns and villages."
"For more than two years since I took over Pimkie, I have received no support from the various organizations and federations. Many were undoubtedly expecting the end of the brand," its boss, Salih Halassi, defended himself to AFP.
Legal action promised by the Mulliez group, former owner of PimkieIn 2023, the Pimkie brand was sold by the Mulliez group , which controls numerous brands such as Leroy Merlin, Kiabi, Flunch, Boulanger and Auchan. But this sale was subject to conditions on the preservation of "the activity and employment of an autonomous and responsible brand". The Mulliez family association (AFM) considers that this agreement is distorted by the partnership with Shein, and has announced that it is taking legal action, denouncing " a use of the funds made available during the sale [nearly 140 million euros] clearly contrary to their purpose" . An approach "supported" by the French Federation of Women's Ready-to-Wear.
A procedure quickly dismissed by the president of the Pimkie group, who asserts that "the Mulliez family has no legal basis allowing it to take action (...) under the transfer contract" and that "this new partnership (...) will even allow the creation of new jobs".
Francetvinfo