PARIS, Feb 5 (Reuters) – Online stores like Shein will face a ‘year of resistance’ in France, French Minister for Small and Medium Enterprises Serge Papin said on Thursday, adding that the platforms represent unfair competition for large French chains.
In an interview with TV channel TF1, Papin stated that it is ‘unfair’ that physical stores are responsible for the products they sell on their shelves, while online platforms are not.
A Paris court is expected to begin considering a government appeal against a December court ruling that rejected its request for a three-month suspension of Shein following the discovery of child-like sex dolls for sale on its marketplace.
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Shein, which has since partially reopened its marketplace and said it has implemented controls on products sold on the platform, declined to comment on Thursday.
‘THEY MUST RESPECT THE RULES’
Papin stated that such violations were ‘systemic’ and that he was confident the court would be receptive to his argument that Shein represented a ‘public nuisance’.
He said two French parliamentarians were preparing a bill that would allow the government to suspend online platforms without the need for court approval, adding that he would like to see Shein’s sales fall in France.
Shein sells clothing and accessories at ultra-low prices thanks to its business model of shipping orders directly from factories in China to buyers around the world. Its explosive growth has triggered a backlash in many European countries, where traditional retailers are losing ground.
‘We need to protect ourselves, of course, there is unfair competition, they must respect the consumer protection rules (applied to French retailers)’, said Papin.
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France has implemented a €2 fee, which will come into effect from March 1, while the European Union will introduce a €3 fee on small orders that were previously exempt, in an attempt to curb sales on Shein and other platforms.
