The EU investigates Shein for selling childlike sex dolls and using addictive platform features, marking its first Digital Services Act probe into the online retailer.
BRUSSELS: The European Union has opened an investigation into online retail giant Shein over the sale of childlike sex dolls and concerns about its platform’s “addictive design”.
This marks the European Commission’s first probe into Shein under the Digital Services Act (DSA), the bloc’s major law to counter illegal content and goods online.
The commission stated it is investigating the sale of illegal products “including child sexual abuse material”. It will also examine the “lack of transparency” of Shein’s recommender systems.
Shein, founded in China but now based in Singapore, said it would continue to cooperate. “We share the commission’s objective of ensuring a safe and trusted online environment and will continue to engage constructively on this procedure,” the company said.
The investigation follows scrutiny from French authorities in November, who condemned Shein for featuring sex dolls resembling children. Shein said it immediately removed the products and banned all sex dolls from its site globally.
The EU said its investigation will focus on Shein’s systems to prevent the sale of illegal products in the 27-country bloc. These products also include weapons, unsafe toys, clothing, cosmetics and electronics.
Regulators are also examining risks linked to the platform’s “addictive design”, such as giving consumers points or rewards for engagement. “Addictive features could have a negative impact on users’ wellbeing and consumer protection online,” the commission said.
An EU official added, “We have a suspicion Shein underestimated (this) in the risk assessment and also didn’t put proportionate measures in place to tackle this particular risk.”
Brussels wants details about the algorithms platforms use to feed users personalised content. The commission noted that opening formal proceedings does not prejudge the outcome, and there is no deadline for completion.
Shein can offer commitments to try to satisfy the EU’s concerns. The company said it had already invested significantly in measures to adhere to the DSA.
Shein is among more than 20 “very large” online platforms that must comply with the DSA. Non-compliance risks fines of up to 6% of global turnover or even a ban for serious, repeated violations.
Other ongoing DSA probes involve Chinese retailer AliExpress and social media platforms Facebook, Instagram, X and TikTok. The EU this month also told TikTok to change its “addictive” design.