The European Commission has designated online fashion retailer Shein as a Very Large Online Platform (VLOP), meaning it will have to comply with stricter rules under the Digital Services Act (DSA).

Shein has notified the commission that it has more than 45 million monthly users in the European Union, the threshold for designation as a VLOP under the act.

Shein will now have until the end of August this year to comply with its obligations under the DSA.

Protecting consumers

These include adopting specific measures to empower and protect users online, and assessing and mitigating any systemic risks stemming from its services.

There are also extra obligations designed to protect consumers, while the DSA also requires more transparency and accountability from VLOPs about their services.

As Shein’s European headquarters is in Ireland, the commission will supervise its compliance with the DSA in co-operation with Ireland’s Digital Services Co-ordinator, which is the responsibility of Coimisiún na Meán (CnaM).