New York: Fast-fashion giants Shein and Temu are under growing scrutiny in the United States after senior Republican politicians called for investigations into the companies’ business practices, including allegations of forced labour, intellectual property theft, and the sale of unsafe products.
In Texas, Attorney General Ken Paxton launched a probe into Shein, reflecting similar inquiries targeting the company in several European nations. At the national level, Senator Tom Cotton urged a federal investigation into both Shein and Temu, labeling them ‘Communist Chinese’ platforms and accusing them of intellectual property theft that has ‘devastated’ US firms.
Cotton highlighted that millions of Chinese packages are now sitting in US warehouses following Washington’s removal of the longstanding de minimis tariff exemption in August, a move that subjects low-cost shipments to customs levies and stricter checks. The Senator called the new rules a ‘golden opportunity’ for the Department of Justice and Homeland Security to act.
Cotton accused Shein of systematically copying designs from American designers and small brands, selling the knockoffs at a fraction of the price, often just days after launch. The Senator also alleged that Temu carries ‘sophisticated and deceptive fakes’ and cited a US investigation finding that a substantial proportion of items purchased from both Shein and Temu were likely counterfeit.
Paxton’s probe in Texas will examine allegations that Shein relies on forced labour, uses unsafe materials, engages in deceptive marketing, and misleads consumers regarding ethical sourcing. The investigation will also look into Shein’s data collection practices. Paxton emphasized that cheap, hazardous foreign goods should not be allowed to flood the US market, putting public health at risk.
Both Shein and Temu have previously faced criticism over the environmental impact of fast fashion and poor working conditions in factories supplying their platforms. In Europe, Shein has faced pressure from the European Union to restrict the sale of controversial products, including childlike sex dolls and weapons, while French authorities are also investigating Temu over harmful content accessible to minors.
Paxton and Cotton, close allies of former President Donald Trump, have taken similar action against other companies. In November, Paxton sued Roblox, alleging the platform ‘flagrantly ignored’ safety laws and misled parents about dangers to young users, claims Roblox has denied as misrepresentations.
The investigations into Shein and Temu represent part of a broader push in the US and Europe to hold fast-fashion platforms accountable for labour practices, intellectual property infringement, counterfeit goods, and product safety concerns.
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