'Too good to be true?' As Shein and Temu take off, so does the scrutiny | CNN Business

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Temu and Shein are taking off in the United States, topping app stores and creating a frenzy with consumers.

But as the two online shopping platforms become hugely popular, they’re also facing questions over a litany of issues, including how they’re able to sell goods at such strikingly low prices, how transparent they are with the public and how much environmental waste their businesses generate. Some of those questions aren’t unique to the two companies: Longtime fast-fashion producers like Zara or H&M\n \n have faced similar concerns.

While both Temu and Shein have taken steps to separate their businesses from links to China, geopolitical tensions are proving hard to shake off. Last month, a bipartisan group of US senators introduced legislation that would give the government new powers, including a ban on foreign-linked producers of software. In a fact sheet distributed by lawmakers, Temu’s surge on US app stores was described as an example of how Chinese consumer technology was becoming more popular.

 

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