The European Commission has opened an investigation against this online brand, which was growing success in France.
Times are hard for major brands in France: store closings, strikes, judicial straightenings … There are many difficulties at the start of 2025. This does not seem to be the case for this merchant at 12 million French customers who, according to data from the Circana firm, has increased 12% in the expenses of last year. However, the European Commission has decided to raise the tone in the face of the growing success of this online trademark.
The authority in particular wishes to attack the delivery, European customs being overwhelmed by 12 million packages each day, more than 90% of which come from China. To date, packages worth less than 150 euros are not subject to customs duties, as recalled Capital. The European Commission would like to return to this model and therefore envisages a tax to cover the treatment costs of these packages. Which should mechanically increase prices.
In addition, the European Commission confirmed in early February the opening of an investigation targeting that which is considered to be “an emblem of the social and environmental drifts of fashion at low prices”. It is indeed Shein. The brand is pointed out to send products to European legislation to Europe.
The clothing sale site is suspected of not fighting the sale of illegal products, not respecting European standards. These can be products deemed dangerous for health or safety for example. Investigations will be carried out in collaboration with the cooperation network in terms of consumer protection, bringing together the competent authorities of the member states. In France, it is the general management of competition, consumption and the repression of fraud.
Shein, for his part, until February 27 to provide explanations and in particular data on “ Risks linked to the presence of illegal products on its market place “, on” the transparency of its recommendation systems “and on” the protection of personal data of users “. If the evidence is deemed insufficient, a second survey could be opened . The brand has promised to collaborate with the EU.
Is the platform in danger? The European Commission could impose financial sanctions on it in the event of proven violations. If the question can arise, we are still far from a total ban in France. This possibility is not envisaged, as was temporarily the case in the United States, but where this measure only lasted a few hours. However, it is very likely that the upgrading of the products sold has an upward impact on the prices of the Chinese discounter. The price policy could also evolve in the event of financial sanctions.
The other Chinese giant of online sales, TEMU, is also in the crosshairs of the European authorities since October 2024 for problems “linked to the sale of illicit products, the potentially addictive design of the service, to the systems used to recommend purchases users, as well as access to data for researchers “.