Shein’s Acquisition of Everlane Under U.S. National Security Scrutiny

U.S. authorities are currently conducting a national security review of Shein Global Holdings’s acquisition of American clothing retailer Everlane. The $80 million transaction took place in May, prompting the Committee on Foreign Investment in the U.S. (CFIUS) to initiate the review. Unlike usual practices, Shein proactively requested the review after the deal’s completion, a move considered unusual in the industry. The review by CFIUS, which is overseen by the Treasury Department, serves as a vital step in assessing potential risks to U.S. national security posed by the transaction. While obtaining CFIUS clearance typically shields deals from future challenges, the body…