Shein has it all. The Chinese-origin portal that shook up fashion with its cheap clothes now distributes everything from screens to pencils. What it doesn’t have is a good answer about who Yangtian Xu is. The low profile of its enigmatic founder makes him an unknown even at home. On the eve of its stock market debut this Tuesday, he remains in the background.
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There is barely a recent appearance of Yangtian Xu – westernized as Sky Xu – at an event. Son of factory workers, at 43 years old the Chinese executive is said not even to be recognized by his own employees in the elevator. It is part of his philosophy: that what matters is the company, not its leader.
The IPO documents only provide a brief description of who he is. As always, in broad strokes, praising his “visionary leadership.” He graduated in international trade in Qingdao, then specialized in SEO search services for export companies. His first entrepreneurial step was in 2008, setting up a first online store with several partners. The big adventure came in 2012, when they launched SheInside, a portal to sell wedding dresses later converted into Shein. Today it is a giant with 280 million customers spread across 160 countries, which earned 36 billion euros and made 1.77 billion in 2025.
With his learning in searches, Xu realized that the best thermometer of trends was social networks. He devised a system to analyze millions of posts, copy viral designs, and order them from Chinese factories. Thus, in days, what is fashionable can reach the buyer. But that speed he gives to small factories, squeezing them to the maximum to reduce costs, has generated accusations of exploitation and forced labor. An advisor who worked with Xu said he knows the ins and outs of contracts with factories and salaries in detail. He is methodical but humble, it is noted. The goal is to make fashion accessible and affordable: with that and a strong presence on social media, he won over Generation Z. Controlling the chain is another hallmark. Xu has made Shein a great testing ground. He launches garments in runs of 100 or 200 units and only scales them if they sell well. It is not fast or ultra-fast fashion, it is real-time fashion, where the response is analyzed live and manufacturing is adapted. This leaves controlled inventory, minimal surplus, and a quick response.
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Xu and Shein have had to reconcile with their origins to achieve the leap to the Hong Kong stock market
But the leap to the stock market comes amid quarterly losses and setbacks. In recent years cracks have appeared. Shein had made efforts to sell itself as a global company when it tried to go public in New York and London, both failed due to Chinese obstacles and doubts about its labor practices. At home, there was little liking for so much fixation on selling itself as a global company, detached from its origin. To attempt a first foreign IPO, Xu moved the headquarters – and his residence – to Singapore in 2021. It did not help that Donald Tang, the executive in charge, said they were more American than Chinese in their way of being, which irritated Beijing. Finally, to go public he had to embrace his roots and reconcile. He will do so in Hong Kong, closer to home. In February, in his only public appearance, Xu praised the Communist Party. In part, the low profile avoids greater scrutiny from authorities who made disappear Alibaba’s founder, Jack Ma.
Shein will debut valued at 26 billion dollars, 74% less than the 100 billion set by a round in 2022, more than Inditex and H&M combined. Because since then everything has worked against it. Shein supported its success on the exemption from customs duties on its packages, something that has disappeared in the US and the EU. Tariffs reduce its American market, and costs rise due to trade disruptions. It is also affected by an aggressive Temu that is eating its market. There have also been more controversies, such as the sale of infantilized sex dolls. And it weighs that it is no longer a high-growth company, reducing investor appetite. Be that as it may, at the debut it will raise 1.7 billion to invest in technology and growth. Will Xu now stop being invisible?
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