France has fined Shein €40m for misleading customers over price promotions and environmental impact, following a near year-long investigation by the country’s competition watchdog.
The DGCCRF – the French anti-fraud agency – said the fast fashion giant gave the impression of offering major discounts by inflating prices before slashing them, creating what it called “deceptive commercial practices”.
In 11% of cases analysed, prices were actually hiked before being cut, while more than half of the supposed deals offered no real saving to shoppers.
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The China-founded online giant, which launched in France in 2015, accepted the fine and said it has already taken corrective action.
“Shein has implemented the necessary changes within two months of being notified,” a spokesperson said, adding that the retailer took its legal obligations “very seriously” and was committed to transparency.
The DGCCRF also flagged misleading sustainability messaging, as scrutiny intensifies over the fast-fashion firm’s environmental footprint and labour practices.
Shein has faced mounting criticism across Europe for fuelling overconsumption and undercutting rivals.
The €40m penalty – one of the highest issued for this type of infraction – comes as the French government presses ahead with legislation to regulate ultra-fast fashion brands.
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