NEW YORK/SHANGHAI : Online fast-fashion retailer SHEIN and its newer rival Temu are in a race to win shoppers' attention for their inexpensive China-made goods.
If Temu loses, Temu could be forced to curtail what so far has been a key marketing strategy. SHEIN seeks to block Temu from using SHEIN's name for marketing, and it wants damages from sales that SHEIN can show came through deceptive or infringing marketing. Temu has asked the court to dismiss the lawsuit.
SHEIN is set to raise around $2 billion in a new funding round this month and is aiming for a U.S. listing in the second half of this year, three people with knowledge of its plans told Reuters. SHEIN said it does not currently have plans for an IPO and declined to comment further. "I am not with Shein anymore," one influencer said in a February post on TikTok."I am with Temu who has the same and more for less."
A Temu.com spokesperson said the company"strongly and categorically rejects all allegations and is vigorously defending its rights."