France Fines Shein €40 Million for Misleading Discounts Amid Crackdown on Ultra-Fast Fashion

France has imposed a €40 million fine on Chinese online fashion giant Shein for deceptive discount practices, marking a significant move in the country’s tightening regulation of ultra-fast fashion. The French competition authority found that Shein’s advertised discounts on its French platform were often based on inflated reference prices, violating national laws that require discounts to be calculated from the lowest price in the previous 30 days. Investigations revealed that in 57% of analyzed cases, the discounts were inaccurate, while 19% of ads overstated the actual reduction, and in 11% the reference price was even higher than the original price.

Shein, operating in France as Infinite Style E-commerce Co Ltd, has rejected the allegations, stating that the issues had already been addressed following similar scrutiny in May 2024 regarding pricing and sustainability. However, the fine comes as France intensifies its regulatory stance: in June 2025, a new law—popularly dubbed the “Anti-Shein Law”—was enacted to target the environmental and economic impacts of ultra-fast fashion models. The legislation specifically criticizes Shein’s rapid product turnover as a threat to local retailers and the environment.

This case underscores France’s commitment to consumer protection and sustainable retail, sending a clear signal to global e-commerce platforms.

Source:France24