The Italian competition authority AGCM has imposed a fine of one million euros on Shein for misleading communication regarding the environmental impact of its products, better known as greenwashing.
Misleading sustainability claims
The fine follows an extensive investigation that began in September of last year. The regulator found Shein’s communication regarding the environment and corporate social responsibility to be vague, exaggerated, and in some cases even incorrect or misleading.
According to the AGCM , Shein bears a greater responsibility because the platform operates in the fast-fashion sector, which is known for environmental pollution due to rapid product cycles and high production volumes. The company stated at the start of the investigation that it would fully cooperate with the authorities and provide all necessary information.
