European complaints against Chinese Shein e-commerce company over using “dark tactics” on their customers!
In a new legal escalation, consumer protection organizations from 21 European countries have filed a formal complaint with the European Commission, accusing Chinese fashion company Shein of using dark tactics that force consumers to purchase beyond their means.
Among the most prominent points mentioned in the complaint, filed by the European Consumer Organization, is the company’s use of misleading tactics, including fake countdown timers, messages suggesting stockouts, repeated urges to purchase, creating a sense of fear of missing out, and forcing users to register.
Furthermore, the report pointed to a practice known as “guilt confirmation,” where shoppers feel they are making a mistake if they don’t make a purchase, which reinforces compulsive consumer behavior.
In its response, Shein expressed its dissatisfaction with the European Consumer Organization’s position, noting that the organization refused to meet with it to discuss the concerns raised.
Shein considered this refusal disappointing, especially given the platform’s growing popularity among European consumers.
As part of the complaint, the European organizations demanded that the European Union require the Chinese company to disclose the actual data on which it bases claims such as low inventory or that the supply will soon expire.
It asserted that failure to provide such data should lead to the banning of these messages in the European market.
The organizations also emphasized that Shein’s practices constitute unfair trade practices that cause significant harm to consumers and society by promoting excessive consumer behavior, leading to the accumulation of barely used clothing, and the manufacture of products that may contain environmentally harmful chemicals.
The organizations pointed out that these behavioral patterns exacerbate problems of overconsumption and undermine European efforts toward a green transformation, weakening consumer confidence and increasing the environmental and societal burdens of the fast fashion industry, and also expressed concern about the circulation of potentially unsafe products that don’t meet EU standards for fabrics and accessories.
This complaint comes nearly four months after the European Commission and the Consumer Protection Cooperation (CPC) opened an investigation into Shein’s compliance with European consumer laws.
It’s worth noting that European authorities recently notified the company of legal violations, including fake discounts, pressure sales, and misleading labels that imply benefits that don’t exceed legal requirements.
The European authorities warned the Chinese company of possible fines if it continued to fail to comply.
For its part, the European organizations who filed complaints confirmed that they complaint complements the European Union’s investigations and is based on additional evidence, including in-depth research from European consumer organizations.
On the other hand, Shein stressed that its open to cooperation, confirming that its already working with relevant authorities to demonstrate its commitment to EU laws, and renewed its invitation to meet with the organization, which has rejected all meeting requests submitted for years.
