Chinese Retailer Shein Makes Adjustments Following EU Warning

Online retailer Shein, known for its affordable fast fashion, is increasing product safety and quality tests. This follows a warning from the European Union that the Chinese-origin company must better comply with EU consumer protection regulations or face fines.

Shein announced plans to conduct 2.5 million product safety and quality tests this year, up from 2 million in 2023. The Singapore-based company will also spend $15 million on compliance initiatives.

Shein operates in 150 countries and also runs a marketplace for third-party sellers. It has terminated partnerships with over 540 sellers due to rule violations.

The EU Consumer Protection Cooperation Network flagged misleading practices, including fake discounts, giving Shein one month to respond.