Shein's New Strategy Against European Fashion Laws
Amsterdam, woensdag, 28 mei 2025.
Shein has presented its strategy to address European and French pressure due to the forthcoming ‘anti-fast fashion’ legislation. This legislation aims to limit the impact of fast fashion on the environment and compels companies to operate more ethically and sustainably. The French Senate will begin discussing this bill next week, which has a direct influence on how Shein, a powerhouse in fast fashion, offers its products in Europe. In addition to a review of their communication and lobbying strategies, Shein has also unveiled plans to increase their product prices in response to the new regulations. This not only illustrates a shock to their operational model but also highlights the broader impact of regulatory measures on global fashion companies.
Pressure from Europe and New Pricing Strategies
Shein must adapt to the new European regulations specifically targeting the ‘ultra-fast fashion’ sector. The European Commission and the French government have proposed legislation that compels Shein and other fast fashion companies to improve their environmental and labour impacts. This legislation, which is about to be discussed in the French Senate, urges Shein to raise their prices by an estimated 12 euros per product by 2030 [1].
Lobby Efforts and Response to EU Regulation
To maintain their presence in Europe, Shein has invested millions of euros in lobbying and communication strategies. They have hired political communication specialists in both the US and Europe, such as Fabrice Layer and Quentin Ruffat. Additionally, high-profile lobbyists like Christophe Castaner and Günther Oettinger have been engaged to help with their image and acceptance in Europe [2].
New Initiatives for Sustainability and Transparency
Shein has announced that 31% of the polyester they use will be recycled by 2030. They also have plans to establish their own production of recycled polyester. Moreover, Shein is launching the Shein X programme, aimed at supporting young designers who can design and sell garments on their platform [3].
Legal Challenges with Public Offering
In addition to the legal challenges regarding consumer rights and sustainability, Shein is also considering withdrawing their planned 2025 public offering in London. The ongoing pressure from EU regulation and tariff obligations plays a significant role in their decision-making process. Analysts suggest that meeting the new EU standards could increase operational costs by up to 30% [4].