Kuwaiti businessman Mohammed Al-Shaye revealed how Chinese e-commerce giants Shein and Temu are posing a growing threat to the local market, according to a video interview published by Al-Marsad Newspaper.
In the interview, Al-Shaye, a prominent figure in Kuwait’s retail sector, explained that the rapid expansion of these two platforms is disrupting traditional commerce by offering ultra-low prices and aggressive marketing strategies that undercut domestic businesses.
He emphasized that whereas the platforms provide consumers with access to affordable goods, their business models — reliant on high-volume, low-margin sales and direct shipping from China — create unfair competition for local retailers who face higher operational costs, including rent, wages, and customs duties.
Al-Shaye warned that if left unchecked, the dominance of such foreign digital marketplaces could erode Kuwait’s minor and medium-sized enterprise sector, particularly in fashion, electronics, and household goods, where local shops have long served as community anchors.
The remarks come amid broader regional concerns about the impact of cross-border e-commerce on national economies, with several Gulf Cooperation Council states reviewing regulatory frameworks to ensure fair competition and consumer protection.
Al-Shaye called for greater transparency in pricing, clearer labeling of product origins, and updated customs monitoring to prevent circumvention of trade regulations, stressing that the goal is not to block innovation but to ensure a level playing field for all market participants.
