Shein fined more than 190 million euros in the past three months

France and Italy have fined fast-fashion online retailer Shein for collecting personal data and for greenwashing. The company is now tightening its compliance controls.

Shein, which supplies inexpensive clothing and accessories directly from Chinese factories to over 150 countries, has become the world’s largest fast-fashion retailer by sales volume. However, its rapid expansion has been accompanied by regulatory violations in many markets.

In a letter to investors reviewed by Reuters, Executive Chairman Donald Tang stated that the company has created a “Business Integrity Group,” which brings together teams responsible for compliance, corporate governance, and external relations. Shein has also strengthened its internal audit function to reinforce “discipline.”

Over the past three months, Shein has faced major fines: €150 million (US$174.53 million) from France for collecting user data through website cookies without consent, €40 million from the French antitrust authority for misleading discounts, and €1 million from Italy for “greenwashing.” Shein is appealing the €150 million fine.

Additional penalties may follow if investigations by European consumer protection authorities determine that products sold on its site fail to meet EU safety standards.

Founded in China and headquartered in Singapore, Shein has applied for a Hong Kong stock listing after unsuccessful attempts to go public in New York and London.

According to Coresight Research, Shein’s U.S. revenue is expected to grow by 20.1% in 2025, reaching $17.2 billion, compared with an anticipated 50% growth in 2024. The company has redirected more of its marketing budget to Europe (including the UK), which is expected to surpass the U.S. in revenue for the first time this year, growing 30.7% to $17.9 billion.