US politicians push for probes into Chinese e-commerce platforms

Republican Senator from Arkansas Tom Cotton sent a letter to attorney general Pam Bondi calling for the Departments of Justice and Homeland Security to investigate Shein and Temu for wide-scale IP theft and counterfeiting.

Meanwhile, in Texas, the state's attorney general Ken Paxton launched a probe into allegations of forced labour and the use of unsafe materials at Shein.

Singapore-headquartered Shein said in a statement that it would co-operate with the investigation and that it welcomed ‘constructive engagement’ with Paxton.

Responding to Cotton's letter, the company said it continues to invest in protecting the rights of designers worldwide. "We are constantly improving our internal processes to better protect creators," said Shein, most of whose goods are made in China, where it was founded.

Designers and small American brands have accused Shein of systematically copying their original creations, often just days after launch, and selling them at a fraction of the price, Cotton said, accusing Temu of carrying ‘sophisticated and deceptive fakes’ on its platform.

A US probe found a significant percentage of items bought on Shein and Temu were likely counterfeits, Cotton was cited as saying by US media reports.

Several reports have raised serious concerns about Shein's alleged reliance on forced labour, and claims of the use of unsafe materials and deceptive marketing, Paxton said.

He said the investigation will assess if Shein's practices violate Texas law by using hazardous materials and if it has misled consumers about ethical sourcing. The probe will also examine Shein's data collection practices, he added.

ALCHEMPro News Desk (DS)