The Chinese fashion retailer Club factory has set up businesses in India to import goods for sale in the Indian market. In September last year, the Indian government ordered Mumbai customs to investigate shipments coming in from China believing that some Chinese fashion retailers were wrongfully marking items as gifts to avoid paying customs duties.
Club Factory has always maintained that is abiding by Indian regulations when operating in the country. The Chinese retailer is gaining an increasing portion of its customer base from India and Club Factory’s founder and CEO Yon Lou revealed on a trip to India in April that the business is working on bringing on board more Indian sellers for its Indian operations. The business aims to have around 50 percent of its sellers be Indian businesses in the coming few years.