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African retailers face mounting pressure as Shein and Temu expand across the continent

Business groups and labor unions call for tighter import regulations and tax enforcement to protect domestic manufacturing and jobs from low-cost Chinese platforms.

Updated Sep 4, 2026 · 14:19 UTC1 reports

The short version

  • Chinese e-commerce platforms Shein and Temu are rapidly capturing African market share by using low prices and social media marketing to attract young consumers.
  • African trade bodies and labor unions warn that the influx of ultra-cheap goods undercuts local manufacturing, threatens retail employment, and creates an uneven playing field.
  • Governments, notably South Africa, have begun tightening tax and customs rules on small online imports, while some labor groups are pushing for full platform bans.

Key facts

  • A study commissioned by the Localization Support Fund estimated that Shein and Temu generated roughly 7.3 billion rand (about $405 million) in South Africa in 2024, accounting for approximately 37% of online sales in the clothing, textiles, footwear, and leather sector.[Deutsche Welle]
  • The Localization Support Fund study estimated that approximately 8,100 domestic jobs (2,818 in manufacturing and 5,282 in retail) failed to materialize in South Africa due to the growth of these platforms.[Deutsche Welle]
  • The South African Clothing and Textile Workers' Union has called for stricter controls, including a proposed ban on the apps to protect local industry.[Deutsche Welle]
  • South African authorities tightened tax and customs regulations on small online imports to prevent foreign platforms from holding a tax advantage over domestic businesses.[Deutsche Welle]
  • In markets lacking direct delivery, consumers frequently access the platforms via international freight forwarders.[Deutsche Welle]

What remains uncertain

  • Whether African governments will adopt stricter enforcement, tariff adjustments, or app bans, and how effectively such policies would balance consumer access to low-cost goods with the preservation of domestic manufacturing.[Deutsche Welle]
  • The precision of modeled projections indicating that more than 34,000 South African manufacturing and retail jobs could be at risk by 2030.[Deutsche Welle]

Sources

Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.