China's Ministry of Commerce demanded on Thursday that France "immediately" suspend the penalties applied since early September to so-called "ultra-fast fashion," ranging between 0.5 and 12 euros and affecting Chinese platforms such as Shein or Temu. Spokesperson Huang Ling called on France to "adequately resolve differences" in the field of sustainable textile trade and create "a fair and non-discriminatory business environment" for Chinese companies, warning that if France insists, China will adopt "the necessary measures" to defend its rights.
China argues that the new French regulation "applies double standards" and may violate the non-discrimination principle of the World Trade Organization, using "the pretext of establishing alleged ecological and sustainability criteria." Although the mechanism does not formally target Asian companies, in practice it mainly affects large Chinese platforms, such as Shein, which offers approximately 1.7 million references, compared to around 20,000 in the case of Spain's Zara or Sweden's H&M.
On Tuesday, Paris began applying a penalty system based on the range of products offered by ultra-fast fashion companies, but also on the lack of incentives for repairing clothing items. Fees start at 0.5 euros for items such as socks or underwear and can reach 12 euros for jackets, and cannot exceed 50% of the sale price.
The French government is working with European institutions to extend this mechanism across the entire European Union. French authorities highlighted that, according to provisional data from European customs, the number of small orders fell between 30% and 40% since the small order fee came into force at the beginning of July, which includes mostly textile products sent from China.
