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Shein Fined €40 Million by France for Deceptive Pricing and Environmental Claims

A year-long DGCCRF investigation showed most advertised discounts offered no real savings after Shein raised reference prices before markdowns.

A view of a Shein pop-up store at a mall in Singapore April 4, 2024. REUTERS/Edgar Su/File Photo
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The Shein and Temu logos are seen in this illustration taken August 22, 2024. Photo: Reuters

Overview

  • France’s DGCCRF imposed a record €40 million fine on Shein for misleading consumers with false discounts and overstated green credentials.
  • Investigators found that 11% of advertised discounts were actually price increases, 57% offered no real reduction and 19% were smaller than claimed.
  • Shein agreed to the penalty and enacted corrective measures within two months of the probe’s March 2024 launch.
  • The group’s status as a Very Large Online Platform under the EU Digital Services Act has triggered coordinated scrutiny by regulators across the bloc.
  • Despite growing to a 3% share of France’s apparel market, Shein remains under fire for environmental pollution, unfair competition and labor concerns.