The European Union has launched a probe into fast-fashion giant Shein, as the European Commission pushes for the Chinese site to provide information on illegal products being sold online.
Shein has been asked by the Commission to provide internal documents on the presence of illegal content and goods on its digital marketplace, as well as around the transparency of its recommender systems.
The Commission confirmed the probe, also calling for the Chinese e-commerce site to give information on consumer protection as well as data protection.
Fianna Fáil MEP Barry Andrews has welcomed the move, saying it was “high time for direct action to be taken to safeguard our consumers online”.
“Shein’s business model has long been under deserved scrutiny for its dangerous manufacturing practices, environmental impact, and alleged links to forced labour,” Mr Andrews said.
The company is required to provide the information to the European Commission before February 25. Based on what Shein returns to the EU, that will determine a further response by the Commission.
Mr Andrews said the investigation into Shein is to be welcomed. He said there is a requirement for crackdowns on companies that do not adhere to EU rules.
“It is a step in the right direction toward holding these marketplaces accountable,” he added.
Shein has been repeatedly criticised, with accusations that the company is contributing to the climate crisis through its use of cheap synthetic fibres, toxic dyes, plastics, and microplastics to make its clothes. These are then sold on at low price.
The company’s Europe, Middle East and Africa (EMEA) headquarters are in Ireland, with former Enterprise Minister Simon Coveney opening the site in 2023.
Fast fashion, which refers to clothing produced and sold at low prices, has significant environmental impact.
The industry accounts for about 8% to 10% of global carbon emissions, and almost 20% of wastewater, while 85% of all textiles go to the dump each year.
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