EU seeks to put brakes on China’s fast fashion online retailers Shein, Temu

China’s online retailers – including fast-growing internet merchants Shein and Temu – are in the cross hairs of EU authorities amid concerns about the volume and quality of their products flooding the European market.

Officials are studying a range of actions including the possibility of introducing customs duties on items that fall below the €150 (US$167) value threshold at which import taxes are applied.

The European Commission has also considered punitive action against the transport subsidies received by Chinese operators, which allow goods to be sent at a low cost by air cargo from China to quickly meet booming consumer demand, according to people familiar with the internal thinking.

Shipments of low-value items from China to the European Union’s 27 member states have surged in recent years, as online marketplaces such as Shein, Temu and AliExpress have aggressively targeted the bloc’s consumers through prominent advertising and search engine optimisation.

AliExpress is owned by Alibaba Group Holding, which also owns the South China Morning Post.