Conventional pultruded fiber-reinforced polymer (FRP) rod stirrups are susceptible to premature bent corner rupture and bond slip failure of overlapping legs. This research proposed a new type FRP shear reinforcement, closed-type winding GFRP (CW-GFRP) stirrups, featuring a fully closed rectangular cross-section. CW-GFRP stirrups completely avoided slip and significantly improved the strength of bent portion of stirrups. To investigate the feasibility of using CW-GFRP stirrups as shear reinforcement, shear test of 8 concrete beams reinforced with conventional pultruded stirrups and CW-GFRP stirrups was conducted. The beams were 300 mm deep and 150 mm wide, and their shear span ratio were 2.07. The effect of the material of stirrups, the spacing of stirrups, and the width of CW-GFRP stirrups were investigated. The test results showed that pultruded stirrups exhibited bond slip failure, in contrast, CW-GFRP stirrups reinforced beams prevented this failure and showed enhanced stiffness, narrower shear crack width and 1.09–1.12 times higher shear capacity. The splitting failure typical of CW-GFRP stirrups was reported, and a smaller stirrups width is expected to avoid splitting and generate greater strain at ultimate. It can be concluded that the new type of CW-GFRP stirrups is an optimized form of FRP shear reinforcement to supersede conventional pultruded stirrups. Strut-and-tie models based on ACI 318-19 and CSA S806-14 were used to predict the shear strength and produced a safe but relatively accurate prediction.