Regulators accused Shein of masking misleading claims about sustainability
- Italian regulators say Sheins green messaging was vague, misleading, or overstated
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Authorities criticized Sheins claims about recycling and product sustainability
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This marks the second major European fine for the fast-fashion giant in just two months
Shein, the Chinese fast-fashion giant known for its ultra-cheap, fast-turnaround clothing, has been fined $115 million by Italian authorities for misleading environmental claims the latest in a growing wave of scrutiny from European regulators.
The Autorit Garante della Concorrenza e del Mercato (AGCM), Italys competition authority, concluded that Shein employed misleading or omissive environmental messaging across its website and promotional materials. Specific sections flagged include #SHEINTHEKNOW, evoluSHEIN, and Social Responsibility, which AGCM said contained sustainability claims that were vague, generic, and/or overly emphatic, or in some cases, flat-out false or at least confusing.
The regulator said Sheins marketing around its evoluSHEIN by Design line led consumers to believe the products were fully recyclable and made solely from sustainable materials claims that do not reflect reality, according to AGCM. Recycling such garments is not currently feasible due to the materials used and limitations of existing recycling systems.
Branding strategy
AGCM also criticized Shein's broader environmental branding strategy, warning that it could mislead consumers into overestimating the companys sustainability efforts. Despite Sheins published roadmap which highlights pillars like Equitable Empowerment, Collective Resilience, and Waste-Less Innovation the authority found these narratives lacked transparency and substance.
The fine was issued to Infinite Styles Services Co Ltd, Sheins Dublin-based European operator. In response, Shein said it had fully cooperated with the Italian authorities and moved swiftly to address their concerns. We have strengthened our internal review processes and improved our website to ensure that all environmental claims are clear, specific, and compliant with regulation, a spokesperson said.
This is Sheins second major regulatory blow in Europe in just over a month. In June, Frances consumer watchdog levied a 40 million penalty on the company for deceptive commercial practices, signaling increasing regulatory intolerance for greenwashing in the fashion industry.
As Shein eyes a possible IPO and further global expansion, its critics and regulators are ramping up pressure to align its practices with its glossy environmental promises.
Posted: 2025-08-05 15:42:05