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Club Factory operates businesses in India to sell garments in the country

Published
May 31, 2019
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The Chinese fast fashion retailer Club Factory has set up and is running businesses in India to import goods  for sale in the Indian market. 

Club Factory runs businesses in India through which to import its fashion goods for sale in the country - Club Factory- Facebook


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. A recent report by ET Tech drew a correlation between the customs crackdown last September and the fact that it found out that by accessing regulatory filings that Club Factory incorporated the businesses Globemax Technology and Globemax Commerce in India around the same time. 

The report stated that Club Factory’s CEO Yon Lou is listed as a director of both Globemax Technology and Globemax Commerce and that Club Factory’s India head Ashwin Rastogi is listed as the business’ India contact.

Club Factory has always maintained that is abides 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, Lou had announced. 

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