Due to Shein’s business practices, authorities in several countries are investigating the company for potential violations of legal regulations and its gray-area practices. As discussed in our previous article, the European Commission’s actions raise constitutional issues that affect consumer protection and fundamental rights, particularly regarding the protection of minors. Shein has scaled the so-called "ultra-fast fashion" model to an industrial level, and the platform now attracts more than 363 million visitors per month. Although the price tags on these products are highly attractive for shoppers, it seems that the true cost is ultimately borne by our planet and our health. Behind the aggressive marketing strategy, however, lie serious problems stemming from the use of potentially toxic chemicals. In addition, growing attention has been focused on the national security risks posed by the company’s data handling practices.
Greenpeace subjected Shein's clothing products to extensive laboratory testing. According to 2025 findings, 30% of the new products examined contained at least one hazardous chemical that exceeded the European Union’s official safety limits. In South Korea, authorities have released similar data. A significant proportion of the tested products were found to contain extremely high concentrations of toxic substances. Some children's shoes contained phthalates at levels 428 times higher than the permitted limit. In some bags, this toxic concentration reached as much as 153 times the legal threshold. (Phthalates are industrial compounds primarily used to soften plastics (especially PVC), making them more flexible and durable. As these substances do not chemically bond to the plastic material itself, they get absorbed unnoticed into our environment and our bodies.)
The chemicals detected pose a serious health risk to those who wear them, and most shoppers do not even realize it. Phthalates, which are commonly used to soften plastics, can contribute to significant disruption of the human endocrine system. PFAS compounds used for their water-repellent properties may also have carcinogenic effects and weaken the immune system. Particularly concerning is the reported presence of extremely high levels of lead in certain children’s clothing products. Lead can impair brain development and cause irreversible neurological damage, especially in children whose immune systems are, due to their age, more vulnerable than those of adults.
In addition to posing serious health risks, microplastics and chemicals leaching from textiles leave a massive ecological footprint on the environment and cause significant environmental damage. Shein's greenhouse gas emissions have quadrupled over the past three years due to the company’s extensive use of synthetic fibers. Instead of addressing the root causes, the company often responds by only temporarily removing problematic products from its inventory. These items later reappear on the platform after only minor changes.
Beyond potential physical risks associated with its products, the platform’s operation has also raised privacy concerns, particularly in the United States, where the Texas Attorney General has filed a lawsuit against the company. According to the allegations, Shein may have handed over sensitive personal data of American customers to entities linked to the Chinese Communist Party. The platform collects vast amounts of user data: it records shoppers’ names, addresses, and payment information, as well as their purchasing habits. Given the company’s extensive supplier network in China, China’s national security laws may require the company to hand over these data to state authorities. These concerns have been reinforced by the official warnings issued by FBI regarding applications with ties to China. Analysis of consumer data may provide foreign intelligence agencies with insight into purchasing habits. Such information can potentially be used for the purposes of disinformation and manipulation.
Alongside the use of cheap and toxic materials, labor exploitation also plays a major role in maintaining extremely low prices. Due to extremely tight production deadlines, suppliers in Asia often operate under enormous pressure. Independent investigations have also revealed that forced labor and excessive overtime are common practices. In addition to the methods mentioned above, Shein keeps its prices low by exploiting loopholes in international trade and customs regulations while benefiting from low-cost shipping – including to Europe. This is achieved through the so-called “direct-to-consumer” model, under which packages are shipped directly to customers, bypassing major EU logistics hubs. By relying on this system, the company is not only able to create a cheaper and faster supply chain but may also successfully avoid stricter chemical and customs inspections in Europe. As a result, consumers are legally considered the importers of the product, thereby limiting the company’s liability if the products are later found to contain toxic compounds.
The European Commission has launched proceedings against Shein under the Digital Services Act, arguing that the platform’s activities pose serious risks to product safety and data protection. At the same time, several countries have already taken measures at the national level to address these concerns without delay. Belgium, for example, has tightened PFAS testing requirements for textiles sold online. France, meanwhile, became the first country in the world to adopt legislation against fast fashion in an effort to curb harmful overproduction.
Shein has thus built a low-cost and fast supply chain that allows the company to import virtually any product into Europe with relative ease. Consumers have increasingly gravitated toward the platform because of its low prices, fast delivery, and broad product selection, placing frequent orders there. However, the true cost of these products may be borne through impacts on our own health, the destruction of our environment, and data privacy risk. The Commission’s proceedings are far from over, but there is no doubt that the outcome will have major implications for Europe’s capacity to protect consumers – and, by extension, European manufacturers and retailers.
