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Brinks Report > Blog > Business > France Fines Shein Forty Million Euros for Misleading Discounts, Environmental Claims
BusinessWorld

France Fines Shein Forty Million Euros for Misleading Discounts, Environmental Claims

Dolon Mondal
Last updated: July 3, 2025 4:31 pm
Dolon Mondal
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Trulli

Shein, the global fast-fashion giant, just got slapped with a big fine in France. The country’s antitrust agency fined the company €40 million (₹380 crore) for misleading business practices. The message? Even cheap clothes can come with a hidden cost.

The Problem: Fake Discounts and Greenwashing

The fine was not random. It came after almost a year-long investigation. According to the French agency, Shein misled shoppers. They showed fake discounts and made vague claims about their clothes being “eco-friendly.” In reality, there was little proof behind those green promises.

Trulli

Shein’s European arm, Infinite Style E-Commerce Ltd (ISEL), was directly responsible. They’re the ones who manage sales in Europe. The French authorities said ISEL was told about these problems back in March last year.

Shein claims they fixed everything within two months. They say all the issues raised were solved more than a year ago. In their words:

“ISEL takes very seriously its legal and regulatory obligations in France.”

But France still went ahead with the fine. Why? Because the damage was already done. Millions of customers were misled—intentionally or not.

Fast Fashion’s Fast Tricks

Let’s be honest. Shein is loved for its low prices and fast delivery. But how do you sell a top for ₹199 and still make a profit? You cut costs—sometimes in places you shouldn’t.

France is saying enough is enough. This isn’t just about one brand. It’s a signal to every fast fashion company: play fair, or pay the price.

At a time when the world is waking up to climate change and overconsumption, greenwashing—pretending to be eco-friendly—feels like cheating. Especially when it’s used to win over young, conscious buyers.

This case shows the fight between ideals and opportunism. Brands like Shein talk about “sustainability” but push out hundreds of new items every day. That’s not sustainable. That’s just smart marketing.

France’s move is a reminder that rules matter, and customers deserve the truth.

Also Read Xiaomi to Consider Selling EVs Globally from 2027, Says CEO

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