CONSUMER LAW | AGCM fines SHEIN for misleading green claims

On 29 July 2025, the Italian Competition Authority (AGCM) concluded proceedings PS12709 by imposing a fine of € 1 million on Infinite Styles Services Co. Ltd, the company managing SHEIN’s e-commerce platforms in Europe (SHEIN), for unfair commercial practices in breach of the Italian Consumer Code. According to AGCM, SHEIN disseminated environmental claims – published on its website https://it.shein.com and related promotional or informational pages – that were, in various cases, vague, generic, or misleading. These included assertions regarding product recyclability, the implementation of a “circular system”, and the use of “green” fibers in selected clothing lines, without adequately clarifying the actual environmental benefits or the limited relevance of these lines within SHEIN’s overall offering. AGCM held that such “green” claims could mislead consumers into believing that certain products are fully sustainable and recyclable, despite the fiber composition and current recycling technologies not supporting such conclusions. SHEIN also published statements about its commitment to reducing greenhouse gas emissions, expressed in vague and generic terms, which appeared to be inconsistent with the documented increase in the company’s emissions in 2023 and 2024. In adopting this decision, AGCM reaffirmed that the use  of vague or unsubstantiated environmental claims to influence consumer choices may constitute a misleading commercial practice under the Italian Consumer Code, and also stressed that businesses operating in the fast and ultra-fast fashion sector have a heightened responsibility to ensure the accuracy of their sustainability communications.

Newsletter n. 110 – August/September 2025