European Companies Write Letter to EU Urging Control of Unfair Competition by Chinese E-commerce

European textile companies joined forces today (September 16) to write a letter to the European Union, urging the EU to take immediate “measures” to combat fast fashion, curb the rapid expansion of Chinese e-commerce platforms Shein, Temu, and AliExpress, in order to protect the European consumer market and the environment.

According to FashionNetwork.com, European textile and fashion companies expressed in a joint letter to the European Commission that they “can no longer wait for years to take action against fast fashion.”

The legislative action by the EU against Asian major e-commerce platforms such as Shein, Temu, and AliExpress has been progressing slowly, leaving participants in the fashion and textile industry increasingly impatient. These platforms have been accused of flooding the European market with low-priced, non-compliant products and engaging in unfair competition that leads to environmental pollution.

They urge the EU to take “emergency action” against fast fashion to curb the “unprecedented growth of textile waste” and the “pressure that European companies find difficult to bear.”

The organizations making demands include the European Apparel and Textile Federation (Euratex), as well as alliances from multiple countries, including France, Italy, Spain, Germany, and Portugal.

They believe it is necessary to accelerate ongoing investigations into these platforms and, if necessary, implement the “most severe sanctions” as stipulated by European regulations. They also suggest introducing a “small parcel fee” and initiating a “dialogue with Chinese (CCP) authorities.”

Fast fashion, also known as disposable fashion, low-cost fashion, and economical fashion; mass-market fashion brands refer to a business model that quickly releases trendy clothing displayed during fashion weeks in a short period of time. For consumers, this means being able to purchase trendy clothing at low prices in a short amount of time.

In recent years, fast fashion has rapidly captured the market with extremely low prices and frequent updates, especially with Chinese platforms Shein and Temu flooding the European market with a large number of products, raising concerns about environmental pollution, labor rights, and consumption patterns.

Shein, known as Xiyin in Chinese, is an online retailer based in Singapore with operations mainly in women’s clothing, as well as offering men’s clothing, children’s clothing, accessories, shoes, bags, and other fashion items. Shein stated that it has over 130 million users in the EU.

According to Agence France-Presse, surveillance data from May 22 to June 5 showed that Shein showcases an average of 7,220 new clothing items daily, far surpassing traditional brands. It has been criticized by environmental groups for fueling overconsumption and pollution, particularly with 99.8% of its product sales relying heavily on high-carbon-emission air freight, resulting in an 80% surge in carbon emissions from 2022 to 2023. In addition, Shein’s products are said to significantly not comply with EU safety standards, while its small parcels shipped from China are exempt from tariffs, creating unfair competition for European companies.

Temu, a cross-border platform under the Chinese e-commerce company Pinduoduo, has launched websites in multiple European countries, including the UK, Germany, France, Italy, Spain, the Netherlands, Portugal, Poland, Sweden, Czech Republic, and Hungary. Temu claims to have 92 million users in the EU.

According to reports from French news channels, in 2024, around 46 million parcels worth less than 150 euros entered the European market, equivalent to over 145 parcels per second, with 91% coming from China, mainly through platforms like Shein or Temu.

Yann Rivoallan, the Chairman of the French Women’s Apparel Association, stated, “China has a serious unemployment problem, and they keep sending us disposable goods to keep their factories running, breaking market norms with low prices. This is unfair competition.” He urged urgent action against Chinese fast fashion to protect consumers, the French job market, and the environment.

Rivoallan believes that while the US uses high tariffs to defend itself, Europe has done almost nothing in comparison. He hopes for European unity against the “danger” brought by China, saying, “China is destroying us with these disposable goods, destroying our businesses.”

He estimated that competition from China has destroyed nearly 50,000 job opportunities within 5 years, with “over 14,000 job opportunities lost in the past two years and this is just the beginning.” Many stores in Paris and many medium-sized cities in France have been closing one after another.

Pascal Canfin, a member of the European Parliament’s Environment Committee, also condemned fast fashion companies for avoiding legal responsibilities on a French news show on the 15th, calling for “systemic reform.” He stated, “We are inundated by these products. Sometimes, from the perspective of user safety and health alone, these products are simply scandalous.”