Italy launches Shein greenwashing probe

Shein is being investigated again, this time for possible greenwashing.

Italy’s antitrust authority revealed this week that it is opening an investigation into the Dublin-based company that manages Leviathan’s online presence in the country for making potentially misleading sustainability claims about Shein clothing.

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Investigation into Infinite Styles Services Co. will include examining whether Shein’s website attempts to “convey an image of the production and commercial sustainability of its clothing through general, vague, misleading and/or misleading environmental claims,” ​​the Italian competition authority said in a statement. statement.

Of particular interest are the website sections “#SheinTheKnow”, “EvoluShein” and “social responsibility”. The agency said “EvoluShein,” Shein’s so-called “deliberate” collection of responsibly sourced materials, may have misled consumers about the recyclability and use of “green” fibers from natural sources.

The antitrust watchdog also wants to take a closer look at the website’s focus on Shein’s decarbonization goals and their apparent link to the company’s spiraling greenhouse gas emissions.

Despite committing to reduce absolute greenhouse gas emissions across the value chain by 25 percent by 2030, Shein production almost doubled from 9.2 million metric tons of carbon dioxide equivalent in 2022 to 16.7 million metric tons last year , in line with the company’s 2023 sustainability and social impact report.

A recent report by Stand.earth called Shein’s breakneck expansion “extremely concerning,” especially since the company’s emissions increases “completely erase” any reductions made by other brands studied. The non-profit organization found that rival Temu actually currently generates more pollution than Paraguay.

A spokesman for Shein said the owner of Missguided was “ready to cooperate openly” with Italian authorities, providing the necessary support and information to respond to any inquiries.

“We would also like to take this opportunity to reaffirm our commitment to complying with the laws and regulations in the markets in which we operate and to being transparent with our customers,” the representative added.

Under Italian law, companies that flout consumer rights rules could face fines ranging from 5,000 euros to 10 million euros ($5,582 to $11.2 million). The European Union is also preparing a mechanism to combat greenwashing across the 27-nation bloc, banning vague and general marketing terms such as “environmentally friendly”, “natural”, “biodegradable”, “eco” and “climate neutral”. ”, unless “climate neutral” with material evidence.