Chinese e-commerce giants Shein and Temu are wreaking havoc on South Africa’s retail landscape, capturing 3.6% of the clothing market and an estimated 37% of online fashion sales, according to new research.

Their ultra-low-cost models, built on fast production and direct-to-consumer imports, have eroded local sales, costing South Africa an estimated R960 million in manufacturing output and 8 000 jobs since 2020. Shares of major retailers have tumbled this year: Mr Price is down 25%, the Foschini Group 31%, Truworths 46%, Woolworths 15%, and Pepkor 10%.