The Dutch competition authority, along with several European consumer authorities, has identified multiple violations of consumer protection laws by the online retailer SHEIN. These violations mislead consumers and create unfair competition against compliant online stores.

SHEIN has been given a one-month deadline to propose adjustments to its website to align with consumer protection regulations. This decision follows a collaborative investigation led by authorities from the Netherlands, Belgium, France, Germany, and Ireland.

Martijn Ridderbos, a board member of the Dutch competition authority, emphasized the importance of a unified approach to address SHEIN's practices across Europe, stating that halting these violations will benefit both consumers and compliant online retailers.

The specific violations highlighted include misleading discounts, pressure tactics using false urgency, lack of essential consumer rights information, deceptive sustainability claims, and hidden contact details that hinder customer service access.

If SHEIN fails to comply within the stipulated timeframe, national consumer authorities may impose sanctions, including fines. Additionally, as a Very Large Online Platform (VLOP), SHEIN must adhere to the European Digital Services Act, which includes obligations to mitigate risks related to consumer protection and public health.

The European Commission is actively coordinating efforts between the Consumer Protection Coordination network and the Digital Services Act to ensure SHEIN's compliance with consumer protection standards across Europe.

Related Portfolios