Italy's antitrust watchdog is investigating the online fast fashion giant Shein for potentially making misleading claims about its sustainability practices.
The country's independent competition authority said in a statement that the greenwashing probe would focus on Infinite Styles Serves Co. Limited, a Dublin-based company that does business as Shein and operates the online retailer's website and app.
Shein was founded in China but is now based in Singapore. It has had a meteoric rise in the world of retail, fueled by a business model that allows it to churn out apparel based on real-time demand and deliver it directly to customers from factories primarily located in China .
That has helped the company offer products for ultra-low prices and attract shoppers who can go on its website to buy $11 sweaters, $2 cellphone cases and other products from a quickly updated assortment of items.
But Shein's critics have long argued the company's practices encourage overconsumption and environmental waste, problems which the retailer has said it is working to combat.
