Italian Authority Fines Shein €1 Million for Deceptive Sustainability Claims

MILAN — The Italian Competition Authority (AGCM) has imposed a €1 million fine on Shein for allegedly making misleading sustainability claims online, marking the second such penalty by a European regulator within a month. The authority cited that statements on Shein's website and promotional pages were often vague, overly promotional, or misleading through omission or deception. Shein responded by affirming its cooperation with the AGCM and its efforts to enhance the clarity and compliance of its environmental claims. The AGCM specifically criticized Shein’s statements on platforms such as 'Social Responsibility,' '#SheinTheKnow,' and 'evoluShein,' pointing out false or confusing information regarding circular economy practices and product recyclability. The authority also challenged Shein’s portrayal of its 'evoluShein by Design' line, which emphasizes 'green fibers.' The regulator highlighted that these claims could mislead consumers into believing the entire collection is eco-friendly and fully recyclable, which is not supported by current fiber technologies and recycling systems. Furthermore, the AGCM refuted Shein’s ambitious targets to cut greenhouse gas emissions by 2030 a...