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France Hits Shein with USD25M Fine Over Consumer Protection Violations

(MENAFN) France has levied a €22-million (nearly $25-million) penalty against fast-fashion giant Shein for systematic breaches of consumer protection regulations, Commerce Minister Serge Papin announced Wednesday.

"The fraud control authority is sanctioning serious breaches for a retailer," Papin said on US social media company X, citing failures to respect withdrawal rights and provide mandatory consumer information.

Beyond transactional violations, the minister flagged a further dimension to the case — a deliberate lack of transparency surrounding the environmental footprint of products sold through the platform.

"What we are sanctioning is not mistakes but a system," he said, referring to practices that bypass consumer protection rules.

Papin also raised the issue of market fairness, warning that Shein's conduct places compliant retailers at a structural competitive disadvantage. He further cautioned that regulatory authorities would maintain oversight of such platforms until behavior changes — or they withdraw from the market entirely.

In a separate statement, the Directorate-General for Competition, Consumer Affairs and Fraud Control outlined that the sanctions specifically target failures across product traceability, environmental claims, withdrawal rights, and delivery timeframes — bringing Shein's total fines in France to over €210 million.

Shein pushed back sharply, saying it "strongly disagrees" with the sanctions, describing them as "manifestly disproportionate and discriminatory."

The company maintained that no consumer harm had been established and that it was not aware of any customer complaints linked to the issues raised.

This latest penalty follows a €40-million fine handed to Shein in France last July. The crackdown extends beyond French borders — the European Commission separately imposed a €200-million fine on Chinese e-commerce rival Temu last week.

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