The European Union has accused Chinese e-commerce company SHEIN of deceptive practices such as fake discounts and forced sales, and violations of consumer protection laws, and issued a warning.
According to a BBC report today, the EU announced in its statement on May 26 that its consumer rights watchdog had discovered through an investigation that SHEIN had violated EU laws. These violations included misleading information, deceptive product labelling, misleading advertising, and concealed contact information.
The investigation also revealed that SHEIN was lowering prices without relying on previous sales prices, making false confidence offers, and setting false deadlines, thereby pressuring consumers to buy.
The EU has now warned SHEIN that it must respond within one month or face fines based on sales volume in the EU.
A SHEIN spokesperson responded by saying that the company will comply with EU laws and regulations and will provide responses to relevant issues.
The Chinese company Shen, which is rapidly capturing markets in various countries through its low prices, faces numerous criticisms, most notably its involvement in the forced labour of Uyghurs.