Online Retailer Shein Allegedly Violates EU Consumer Laws, Assert EU Regulators - Online retailers accused of violating European Union regulations by consumer advocates
EU Consumer Protection Authorities Allege Online Retailer Shein of Violating EU Law
Brussels - EU consumer protection authorities have accused online fashion retailer Shein of breaching several consumer laws in the European Union (EU). In a report, investigators claimed that Shein uses various deceptive practices that manipulate customers and mislead them.
Investigators found instances of fake discounts, where a false starting price was given to exaggerate the reduction. Additionally, the company is said to set false purchase deadlines to pressure customers into making hasty decisions. Furthermore, the platform's product labels often feature misleading claims about items' sustainability and repairability, even though those features are already legally mandated.
One of the accusations also includes Shein's difficult-to-reach customer service and unclear return policies. The EU Commission has designated Shein as a "very large online platform" under the Digital Services Act, meaning the company must abide by stricter regulations concerning the removal of illegal content and ensuring transparent, fair consumer practices.
Public complaints about the retailer's poor product quality and misleading return policies are piling up, as stated by consumer protection organizations. Moreover, investigations are underway in Brussels regarding the offer of alleged illegal goods and data protection at Shein. If the commission confirms the violations, it could initiate a process for suspected breaches of the EU rules for online marketplaces, leading to potentially high fines for Shein.
The EU Commission has also proposed a flat rate for packages arriving from countries outside the EU, such as those from platforms like Shein or Temu. EU Trade Commissioner Maros Sefcovic states the fee could amount to two euros for deliveries to private households, which would help fund additional customs work.
- EU
- Consumer Protection Authorities
- EU Commission
- Discounts
- Online Marketplaces
- The EU Consumer Protection Authorities have accused Shein, an online retailer, of violating numerous EU consumer laws by employing deceptive practices.
- Among the allegations, Shein is said to use fake discounts, set false purchase deadlines, and feature misleading claims about product sustainability and repairability.
- The EU Commission has designated Shein as a "very large online platform," requiring the company to comply with stricter regulations concerning consumer practices and illegal content removal.
- The EU Commission is also proposing a flat rate for packages from outside the EU like those from Shein or Temu to fund additional customs work, potentially affecting these online marketplaces' business model.
