The European Union has designated Chinese-founded online retailer Shein as a “very large online platform,” subjecting it to stricter safety regulations under the Digital Services Act (DSA). Shein, with around 108 million monthly active users in the EU, will have to comply with rules aimed at protecting consumers from purchasing unsafe or illegal goods, particularly those harmful to minors. Shein has pledged to abide by these regulations. Beyond the EU, Shein has faced criticism for alleged exploitation of factory workers and environmental concerns.
EU has also targeted other digital giants like TikTok, X, and AliExpress with investigations. Temu, another Chinese shopping app, is expected to join the list. Under the DSA, platforms must assess risks to users’ rights and safety, submit reports to regulators, undergo external audits, and provide data access to approved researchers. The EU has taken a tougher stance against China-linked companies, with TikTok facing intense scrutiny.
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