France fines Shein $26 million over consumer rule breaches; Shein to challenge

France fines Shein  million over consumer rule breaches; Shein to challenge

PARIS, June 3 (Reuters) – France has fined fast-fashion firm Shein about €22 million ($26 million) over issues with returns, ‌product information and order confirmations, a penalty the company ‌described as disproportionate and vowed to challenge.

The Directorate General for Competition, Consumer ​Affairs, and Fraud Control said on Wednesday it had fined Shein €16.7 million for the order confirmation issues and €5.8 million for issues with returns and environmental quality information.

“Technical issues, with no ‌impact on consumers and ⁠already addressed where necessary, have been used as the basis for an exceptional penalty,” a Shein ⁠spokesperson said in a statement. “We therefore intend to strongly contest both sanctions in their entirety.”

France fined Shein €40 million for misleading ​discounts in ​July. Authorities also sought to ​suspend its marketplace, but ‌Paris’ Court of Appeals rejected that move in March.

Shein, which has won over millions of cash-strapped shoppers around the world with rock-bottom prices on clothes, gadgets and accessories, has faced heightened scrutiny in France since November, when the consumer watchdog ‌found sex dolls resembling children ​and banned weapons for sale on ​its site.

Since the discovery, “we ​have decided not to leave these platforms alone, ‌and we will continue to ​take action until ​they completely change their practices – or leave our market,” Serge Papin, minister for small and medium-sized businesses, said ​in a post ‌on X.

($1 = 0.8615 euros)

(Reporting by Makini Brice and Inti ​Landauro; additional reporting by Helen Reid; Editing by ​Dominique Vidalon and Mark Potter)

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