Overview
- The EU’s Consumer Protection Cooperation Network identified multiple breaches in Shein’s sales practices, including fake discounts, pressure-selling tactics, deceptive product labels, misleading sustainability claims and hidden customer service details.
- Shein has until June 26 to submit binding commitments to address the findings or risk fines calculated on its annual turnover in affected EU member states.
- Regulators are also probing Shein’s transparency on product rankings, customer reviews and the disclosure of third-party seller contracts on its platform.
- As a designated “very large online platform” under the Digital Services Act, Shein could face additional penalties reaching up to 6 percent of global revenue for non-compliance.
- Separately, the EU has proposed a €2 handling fee on low-value e-commerce shipments, a measure that may raise delivery costs for Shein’s budget-focused customers.