Chinese-founded online retailer Shein was added by the European Union on Friday to its list of digital businesses that are big enough to face more stringent safety regulations. The business is one of 23 “very large online platforms,” along with Facebook, TikTok, X, and YouTube, that have over 45 million monthly active users in the EU.
Shein will have to follow the stricter guidelines outlined in the Digital Services Act (DSA), one of the historic new legislation passed by the EU that targets online platforms, starting at the end of August, four months after Shein was designated.
One of these is putting policies in place to “avoid customers buying dangerous or illicit products, with an emphasis on stopping the sale and distribution of goods that could endanger minors.”
“We share the commission’s ambition to ensure consumers in the EU can shop online with peace of mind, and we are committed to playing our part,” said Leonard Lin, global head of public affairs at Shein.
Beyond the EU, Shein has faced fierce criticism with a long litany of accusations from alleged exploitation of its factory workers with low pay to promoting hyperconsumerism to causing damage to the environment.
