EU Commission launches probe into Shein amid import crackdown
The commission has also proposed the use of digital tools to help facilitate the supervision of the e-commerce landscape through the Digital Product Passport and new AI tools for the detection of potentially non-compliant products
The European Commission has launched a probe into Shein as part of a crackdown against a flood of cheap e-commerce imports into the European Union.
This follows last year’s influx of approximately 4.6 billion low-value consignments, i.e. goods valued at no more than €150 (£126), entering the EU market, amounting to around 12 million parcels per day.
This is twice as many as in 2023 and three times as many as in 2022, and many of these goods have been found to be non-compliant with European legislation.
As a result, in connection with the Shein probe, the commission has introduced a “toolbox” in collaboration with the Consumer Protection Cooperation Network, designed to tackle the challenges posed by e-commerce giants that fail to comply with EU regulations.
The commission stated that in Europe, consumers should enjoy the “full potential of e-commerce and have access to convenient, affordable, safe and high-quality products online”.
It added that European businesses should benefit from a “level playing field in the Single Market”.
The Commission also invites the co-legislators to consider further measures, such as a non-discriminatory handling fee, on e-commerce items imported in the EU directly to consumers.
These include removal of the duty exemption for low-value parcels worth less than €150 (£126) and reinforcing capabilities for controls such as better data-sharing and risk assessment.
The Consumer Protection Cooperation (CPC) Network of national consumer authorities and the commission have informed Shein about the launch of a coordinated action.
Henna Virkkunen, executive vice-president for Tech Sovereignty, Security and Democracy, said: “The rise in e-commerce imports to the EU market has brought with it many challenges.
The EU is ready to address these challenges, coming together as Team Europe to make sure citizens and businesses can continue to enjoy the many benefits of online shopping, while minimising the risks of dangerous products that threaten the health and safety of consumers.
“We want to see a competitive e-commerce sector that keeps consumers safe, offers convenient products, and is respectful of the environment.”
A Shein spokesperson told Reuters: “We share the CPC Network’s goal of ensuring European consumers can shop online with peace of mind, and we intend to work closely with the CPC Network and the Commission to address any concerns.”
