In recent years, Shein, a prominent Chinese ultra-fast fashion retailer, has captured global attention with its vast array of trendy and affordable clothing. However, the company faces increasing scrutiny over its environmental impact, human rights practices, and ethical standards.
The founder, Xu Yangtian, known by his English name Chris Xu, started with a wedding business called SheInside in 2008. He launched Shein in 2012, expanding into women’s fashion, accessories, and later, men’s and children’s clothing. Today, Shein is known for its extensive selection of fashionable, low-cost apparel and has seen its revenue reportedly surpass $30 billion annually by some estimates, although Shein does not disclose its financials. The company, valued at more than $60 billion in a recent funding round, is planning a £50 billion initial public offering (IPO) in London.
Operating primarily online, Shein ships to over 150 countries, employs over 11,000 people and has become a favourite among Gen Z and millennials for its low prices and a constant stream of new arrivals. However, Shein’s rapid production model, which introduces thousands of new items daily, significantly contributes to environmental degradation.
Despite its popularity, Shein has faced significant criticism regarding its environmental impact. The fast fashion industry is resource-intensive and environmentally detrimental by nature, and Shein’s ultra-fast model amplifies these issues. According to Fashionista’s Clean Energy Close Up report of 2024, Shein ranks at the bottom of the list with a score of 2.5/100 in efforts to reduce emissions. Additionally, a report from the Korean Times revealed that a recent safety inspection by the Seoul city government in May 2024 found toxic substances in children’s products sold by Shein at levels up to 428 times the permitted limit. These findings have raised serious concerns about the safety standards of products available on the platform. Furthermore, according to Times Now News, South Korean researchers have warned that Shein’s products might contain high levels of toxic “forever chemicals.”
Shein’s history of environmental neglect is well-documented. A Greenpeace report from 2022 revealed that several Shein products, including clothing and footwear for all ages, contain hazardous chemicals exceeding EU regulatory limits. Additionally, a 2021 study by the University of Toronto found dangerously high lead levels in a toddler’s jacket sold by Shein—nearly 20 times what is considered safe and over five times the safe limits set by Health Canada. Shein scored a meagre 7 out of 100 on Fashion Revolution’s latest Transparency Index 2023. The environmental impact of Shein’s operations extends beyond chemical safety. The brand contributes to substantial textile waste, with an estimated 85% ultimately ending up in landfills, primarily in the Global South.
According to the U.S./Ghanaian not-for-profit Or Foundation, one destination for waste textiles is the Kantamanto second-hand market in Accra, which receives 15 million new garments a week, of which 40% ends up as waste. These materials may take over 200 years to decompose, posing long-term environmental hazards. Furthermore, Shein’s vast production and distribution networks significantly contribute to carbon emissions. The company’s practices in textile dyeing and treatment also lead to severe water pollution, adversely affecting aquatic life and posing health risks to human populations in vulnerable areas.
Ethical issues within Shein’s supply chain are equally alarming. Investigations have highlighted poor working conditions, unfair wages, and excessive work hours. More disturbingly, there are allegations of forced labour, especially concerning materials sourced from China’s Xinjiang region, which is notorious for human rights abuses. Reports from a Swiss non-governmental organisation indicated that some factory workers supplying Shein endure up to 75-hour workweeks with little rest.
In response to these criticisms, Shein has initiated sustainability projects. The company has launched initiatives like the “Shein Cares” programme, which aims to address environmental and social issues through various measures, including recycling programmes and charitable donations. This week, Shein introduced a €200 million ($218m) “circularity fund” to address fashion waste. The company has invited rival retailers, sovereign wealth funds, investors, policymakers, non-profit organisations, and academics to participate in this initiative.
However, critics argue that these efforts are minimal compared to the scale of Shein’s operations and the environmental impact of its business model. Caitrin Watson, the director of sustainability at Shein, stated in early May, “To meaningfully reduce emissions in the fashion industry, we need to not only minimise our own waste but collectively eliminate the concept of waste altogether.” Despite these efforts, environmental groups and consumers remain sceptical, urging the company to implement more significant, verifiable actions rather than providing mere corporate assurances.
As Shein continues to grow, the global community watches closely, anticipating whether the company will align its rapid expansion with genuine improvements in sustainability and ethics. The future of Shein hinges on its ability to transform its practices and operate responsibly. While Shein exemplifies the fast fashion industry’s ability to deliver affordable, trendy clothing quickly, it also brings significant environmental and social costs. As the world grapples with climate change and resource depletion, the need for sustainable fashion practices has never been clearer. Shein must balance the demand for fast, affordable fashion with the urgent need to protect the environment and workers’ rights.