Chinese fast-fashion brand Shein and Chinese online shopping platform Temu will likely soon be investigated by American regulators following a report from a US government agency.
Members of the US Consumer Safety Product Commission (CSPC) released a statement outlining the need to investigate both businesses’ US operations, foreshadowing a full investigation by the CSPC.
The statement alleges Temu and Shein “raise specific concerns” regarding product safety and supply chain dynamics.
Shein and Temu have been accused of achieving competitive prices via unethical business practices, such as Uyghur slave labor.
Conservatives have repeatedly condemned both companies and encouraged President Joe Biden’s administration to investigate them.
Senators Rick Scott (R-FL) and Marco Rubio (R-FL) have led pushback against the Chinese firms.
Last month, Senator Scott sent President Biden’s administration a letter requesting Temu be investigated over product safety, labor practices, unfair competition, data privacy, and counterfeit goods concerns.
Temu’s Chinese ownership, said Scott, is grounds for inquiring upon how Temu manipulates American users’ data and if it is being delivered to the Chinese Communist Party (CCP).
Furthermore, Scott justified his investigation request to ensure Temu products are not produced using forced labor, as some Chinese companies have been previously accused of.
Scott celebrated the recent news Shein and Temu could finally be federally investigated.
“I’ve been calling for accountability for months,” said Scott, “so I’m glad to see USCSPC is finally taking action to protect Americans against CCP-linked Temu and Shein.”
Similarly, Senator Rubio has criticized Shein’s business, even contributing to preventing Shein from expanding its US operations by acquiring an initial public offering (IPO).
According to Rubio, SHEIN has surreptitiously worked to conceal their connections to the Chinese Communist Party (CCP).
Rubio also claimed SHEIN’s contracts with cotton providers working in Chinese regions plagued by Uyghur slave labor questions the designer’s ethical credibility.
“Slave labor, sweatshops, and trade tricks are the dirty secrets behind SHEIN’s success,” said Rubio as he encouraged the UK to investigate SHEIN prior to granting it an IPO. “I trust you will treat these allegations against SHEIN with the utmost seriousness, investigate them fully, and take appropriate action to protect investors,” concluded Rubio.
