EU regulators have opened a formal probe into Shein under the Digital Services Act, stepping up scrutiny of the fast-fashion marketplace after disturbing reports about some listings.
Why this matters
French authorities raised the alarm over listings for sex dolls that appeared to mimic children. The revelations triggered public outrage and suggested possible breakdowns in the company’s content moderation. Regulators also suspect Shein’s recommendation and search algorithms may have amplified those problematic listings, which pushed the case from initial concerns into a formal fact-finding phase in Brussels.
What the Commission can do now
At this stage the European Commission gains wide-ranging investigative powers. Officials can demand internal documents, interview Shein staff and third parties, and require detailed explanations of how the platform operates. The goal is to gather the evidence needed to determine whether Shein is meeting the DSA obligations that apply to very large online platforms.
What investigators will look at
– Content moderation and listing controls: Regulators will examine the balance between automated filters and human reviewers to see whether illegal or harmful products are being caught and removed. They’ll ask for audit logs, transaction records and metrics that show enforcement rates, how reports are handled, and how fast the company responds.
– Seller onboarding and oversight: Authorities will probe how sellers are vetted and monitored, what checks are in place to prevent bad actors from listing illegal items, and what penalties the platform applies when rules are broken.
– Recommendation systems and platform design: Investigators will analyse whether recommendation engines, ranking algorithms or default settings inadvertently promote risky listings or amplify harmful content at scale.
– Transparency and risk mitigation: The probe will also consider whether Shein has carried out necessary risk assessments, implemented mitigation measures required by the DSA, and provided sufficient transparency about its processes to users and regulators.
– User complaints and redress: How the platform handles user reports, disputes and remediation—both in speed and effectiveness—will be part of the review.
This inquiry doesn’t decide guilt or impose penalties by itself; it’s a structured effort to establish facts and evaluate compliance. Depending on what the Commission finds, the case could lead to remedies, fines or further enforcement steps under the DSA.