US regulators examine whether Shein’s ownership of Everlane’s consumer data threatens national security after the deal closed in May 2026.
The Committee on Foreign Investment in the US has launched a national security review of Shein’s $80m acquisition of clothing retailer Everlane. The Treasury-led panel began scrutinizing the transaction after it was finalized in May 2026, an unusual step as companies typically seek CFIUS approval before closing deals.
Shein, which moved its headquarters to Singapore but maintains significant operations in China, initiated the review process post-acquisition. The central concern involves potential risks from Shein’s access to US consumers’ personal data through Everlane. The company appointed a former Treasury official to oversee the CFIUS submission, citing Everlane’s financial instability as the reason for the delayed filing.
No outcome has been announced, and Shein stated it is committed to complying with all applicable regulations. The review highlights growing scrutiny of foreign investments in US companies handling sensitive data.