The European Union has accused Chinese online retailer Shein of breaking consumer protection laws across several fronts. Following an investigation led by the European Commission and national consumer protection authorities, Shein stands accused of using illegal and manipulative tactics to influence customers’ buying behaviour.
Authorities say the fast-fashion platform displays fake discounts, including false original prices and countdown timers that restart constantly. These features aim to create a false sense of urgency, pushing shoppers into quick decisions.
Investigators also raised concerns about misleading sustainability claims, unclear return policies, and confusing product labelling. They noted that Shein makes it difficult for customers to contact support, limiting their ability to ask questions or file complaints.
The Commission has given Shein one month to explain how it will fix these issues. If no progress is made, the company could face fines. Enforcement is being led by officials from Belgium, France, Ireland, and the Netherlands.
“Companies selling in the EU must play by our rules,” said Michael McGrath, EU Commissioner for Justice and Consumer Protection. “We will not shy away from holding e-commerce platforms to account.”
Shein is not alone. In November, Chinese rival Temu also faced criticism for similar breaches, including fake reviews and gamified shopping features like spin-the-wheel deals.
Both companies are also under investigation for potential violations of the Digital Services Act, which looks at how platforms recommend products and whether illegal goods are being sold online.
