European Textile Industry Sounds Alarm Over Ultra-Fast Fashion Flood from Shein & Temu

Le Monde.fr reported that European textile companies are raising serious concerns: cheap garments from Chinese online platforms (notably Shein and Temu) are undercutting local businesses and flooding the EU market. 

Poland Insight also argues that these imports are destabilizing the sector by offering ultra-low-cost clothes that most European manufacturers, especially smaller ones, can’t compete with.

To make matters worse, a huge volume of these goods enters Europe as “low-value parcels” (valued under €150), which until recently were exempt from many import taxes.

What’s the EU Doing About It?

In response, Yahoo Finance, and The Guardian+1 European Union regulators are stepping up with new measures:

1. Ending the €150 Duty Exemption
   Finance ministers agreed to remove the duty-free status on parcels worth under €150, a move primarily targeted at Chinese platforms like Shein and Temu.

2. New Handling Fee
   A temporary “handling fee” for low-value parcels is being proposed, with an expected start date as early as 2026.

3. More Border Checks
   The EU is increasing customs inspections and risk evaluation for items coming from these platforms, citing concerns over product safety and unfair competition. 

Why European Textile Leaders Are Worried

Industry groups are sounding the alarm for several reasons, as reported in Le Monde, industriAll Europe, and euronews.

• Jobs at Risk: Cheap imports make it harder for EU-based fashion companies, especially smaller ones, to survive.

• Unfair Competition: Many of these imported clothes are significantly cheaper because they bypass many of the costs local producers incur (like strict labor laws, taxes, and environmental standards). 

• Worker Rights: Trade unions are also worried about working conditions in ultra-fast fashion supply chains, calling for stronger EU enforcement of labor standards. 

• Sustainability Impact: Cheap, fast-made clothes often have poor durability, leading to more waste. 

France Is Leading the Charge

France has been particularly vocal:

• The French parliament is debating a €2 levy on low-value fashion imports, specifically targeting Chinese budget platforms. 

• Some lawmakers want to go even further by imposing an environmental fee on these packages, possibly as high as €5–€10 per parcel.

• French industry leaders support this, saying it will help level the playing field for European companies that produce under stricter social and environmental standards.

Consumers Gain

• EU shoppers may pay a little more for very cheap imports as these new measures roll out.

• Increased regulation could mean safer, more sustainable products.

Trade-off:

• Cheaper clothes may become less common.

• Some Chinese retailers might face higher costs and could pass them on to buyers.

• Local European fashion brands may have a chance to regain ground.
  
  

In the long run,

• Member-States Vote: EU countries will debate and vote on the proposed customs changes by late 2025 or early 2026. 

• Implementation Timeline: If approved, the new duty rules could begin as early as 2026, faster than previously planned. 

• Broader Reforms: Calls are growing for stronger rules not just on customs but also on labor standards, taxation, and environmental impact for ultra-fast fashion companies. 

The rise of Shein, Temu, and similar ultra-fast fashion platforms has sparked a serious business shake-up in Europe. Textile leaders argue that long-term sustainability for both the planet and the European economy depends on bold regulation.

If successful, these measures could reshape not just how we buy clothes, but who makes them and at what cost to workers, consumers, and the environment.