The Cyberspace Administration of China is conducting a cybersecurity review of online retailer Shein’s data handling and sharing practices, the Wall Street Journal reported.

China’s internet regulator is looking at how Shein handles information on its partners, suppliers and staff in China, and if the fashion company can protect such data from leaking overseas, the newspaper reported, citing people familiar with the matter.

The government is also interested in the type of Chinese data that the company will disclose to regulators in the US as Shein seeks a listing there, the newspaper reported.

Shein did not immediately respond to a request for comment.

This comes as Shein seeks Beijing’s nod to go public in the US and could potentially complicate the fast-fashion retailer’s listing plans, which have run into political opposition in the US.

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Shein, which according to Reuters sources was valued at US$66-billion in a fundraising in May, filed its planned US IPO with the China Securities Regulatory Commission in November. — Chandni Shah, (c) 2024 Reuters