As TEMU, shein Pivot to Europe, meet again organizational scrutiny

Timo and Shane are the axis of Europe, as their business in the United States takes great success from unfavorable trade policies. But e -commerce applications in the Chinese budget may not receive a warm reception in its new target markets.

In recent weeks, complaints have been filed against Timo and Shane in the European Union, accusing them Inappropriate business tactics. This comes like the block Prepare New flat fees from EURO on a small package of customs free from online markets such as TEMU and Shein.

Experts say that new developments can be signs of platforms, as their actions have already suffered from closing the exemption of a small package tariff in the United States, as well as new duties of 54 % or $ 100 for those who are sent through the postal service.

“With the intensification of organizational and commercial pressures in the United States, TEMU and Shein are increasingly turning into Europe and the United Kingdom as critical growth markets,” said Anand Kumar, Assistant Director of Research at Coresight Researd.

However, Kumar said that companies have started facing the organizational opposite winds in Europe and the United Kingdom that resonated the scrutiny they faced in the United States

He added: “The proposed customs duties of the European Union 2 euros are more than just additional fees-it is a strategic organizational step aimed at reducing the unrestricted growth of e-commerce across the unlimited borders, and it can reshape how platforms such as Shein and TEMU in Europe over the next 2-3 years.”

Timo and Shane have strengthened their advertisements in Europe, especially in the United Kingdom and France, according to L. a report From Reuters, it reflects their transformation from the United States

The increasing importance of the European Union and the United Kingdom of the two companies also is reflected in data from the edge of the Edge of Consumer, which tracks the attitudes of the consumer based on a sample of credit card information and discount.

According to the data it sent to CNBC, consumer spending fell throughout the year in the United States in the United States about 36 % in May of the previous year, while Shane decreased by 13 % during the same period. The company added that its data shows that some of the TEMU and Shein customers in the United States have transformed their spending towards old stores and the fast -fashioned retailers.

These trends coincide with Data from Market Intelligence Show the use of the Temu and Shein app in the United States is slowly slowing down.

However, the opposite trends of platforms in the UK and the European Union were observed. In May, consumer spending growth on an annual basis was 63 % in the European Union and 38 % in the United Kingdom, which saw 19 % growth in the European Union and 42 % in the UK during the same period.

For TEMU, consumer edge data showed that growth was especially clear in the main market of France, the second largest economy in Europe.

To take advantage of the momentum in Europe, TEMU and Shein have expanded its operations vigorously throughout the region, including intensifying the ability of warehouses, experimenting with translated business models, as well as increasing spending on digital ads significantly in major markets such as the United Kingdom, France and Germany, according to Coresight.

“This expansion is not just an opportunist – it indicates a strategic shift in how these companies imagine their next stage of growth,” he said.

“However, the European market is not without challenges. The region imposes tougher regulations on the safety of products, consumer protection and fair competition, all of which require TeMu and Shein to invest more in compliance and operational transparency,” he added.

Experts say that these possible challenges and duties of the European Union on small value packages may be signs of more coming pressure To Timo and Shin.

according to French local mediaThe draft “Fashion Anti -speed” bill, which is subject to discussion in the French National Assembly, has recently been rewritten by the individual of ultra -throwing platforms such as Shin and Timo.

The draft law, which was approved by the Lower Parliament Council for France for the first time in March last year, is seeking to punish fast fashion products for its environmental impact.

Meanwhile, on Thursday, the European Power organized beuc A. complaint With the European Commission against Sheen because of its use of deceptive techniques, or “dark patterns” that cause excessive consumption.

This comes after the European Commission announced its investigation in Chen’s compliance with the Consumer Law of the European Union in February, and in May, in May, Urging Shin to respect the laws of consumer protection in the European Union.

Buuc has alsa I filed a complaint Against Timo, while 17 of its members filed the same complaint to the competent national authorities, the group said.

Xiaomeng Lu, Director of Geotechnology in the Euroasia Group, CNBC, told the latest TEMU scrutiny and Shein mention this in the United States in the United States

“(Temu and Shein) provide cost -cost and an effective supply network that occurs well in the rapid fashion world. However, work practices and standards for entire human rights may not be completely with high -value markets such as the European Union and the United States.”

She added that the conflict and “protectionist ascension” globally are “the main motives for these organizational interactions.”

In the United States, officials had also faced a problem with TEMU on The alleged compliance With UFLPA, which prohibits the import of forced work from the Xinjiang region of China.

According to Coresight’s Kumar, Europe, for its part, is moving towards the most stringent supervision through Customary care guidance for companies – Any member of the European Union member states until July 2026 to integrate into their national laws.

Guidance would force the European Union companies to define human rights violations and mitigate them in their supply chains, reveal the effects of environmental impact and sustainability standards and face legal consequences for their failure to take sufficient preventive steps.

This means that Timo and Shin will face strict compliance demands in the European Union. However, the region still provides significant opportunities to expand in an increasingly feudal global commercial environment.