Cheap Clothes, High Costs: Fast Fashion’s European Crisis

The rise of ultra-fast fashion threatens Europe’s environmental and economic stability, demanding urgent action.

Ultra-fast fashion empires from China flood Europe with cut-rate clothing, tempting consumers. But a darker side surfaces: these companies undermine the circular economy and textile recycling in Europe. The deluge of cheap apparel creates serious problems, from environmental harm to questionable labor practices.

The Ultra-Fast Fashion Assault

Platforms like Shein and Temu are reshaping how Europeans shop, disrupting the existing market. They overwhelm systems designed to protect consumers, stifle fair competition, and manage waste. These companies introduce thousands of new items online daily, with designs hitting the market in as little as ten days. Though they claim an “on-demand” model to limit waste, the reality is the opposite: extreme overconsumption and waste generation.

Shein’s data from 2023 showed a 45% surge in its greenhouse gas emissions. Furthermore, Shein and Temu together ship the equivalent of 88 Boeing 777 cargo freighters globally each day, boosting aviation emissions. These packages often enter the EU under the €150 duty exemption, raising concerns about customs checks and tax avoidance, and possibly bypassing product safety oversight.

Toxic Substances and Regulatory Failures

Customs authorities are struggling. The huge volume of small parcels renders thorough inspection practically impossible. Market surveillance is failing, and many products violating EU rules reach consumers unchecked. In 2022, Greenpeace identified items from Shein that exceeded chemical safety limits. A year later, South Korea detected toxic substances in children’s clothing sold by Temu, at levels 622 times the legal limit. Just this February, Irish regulators found dangerous levels of lead and banned phthalates in children’s sandals from Shein.

Europe’s Circular Economy Under Fire

EU-based textile producers, retailers, and recyclers face tough rules, including stringent environmental and labor standards. They are undercut by platforms that may exploit regulatory loopholes. Entry-level and mid-range fashion brands across Europe are collapsing under the pressure. Even global players like H&M are resorting to legal action against Shein.

Europe witnesses a sector crucial for its green transition buckle under low-value imports. These items are never meant for reuse, resale, or recycling. Textile sorters face a flood of clothing with no second-hand value and low recyclability—while fiber-to-fiber recycling accounts for less than 1% of collected materials.

Ultra-fast fashion delivers a devastating environmental blow because its garments rely on low-quality synthetic fibers like polyester. These release microplastics with every wash, and are difficult to recycle. European textile sorters report that collection bins are increasingly filled with unworn Shein items, tags still attached. These clothes go straight to landfills.

“Is this what circularity looks like? Mass overconsumption, clothing too poor in quality to even resell, let alone recycle?”

Urgent Policy Action Needed

To counter this, EuRIC Textiles advocates for policy changes, as outlined in EuRIC’s manifest “Increasing Textiles Circularity by 2030.” These include extending product lifecycles, scaling up textile recycling, and increasing recycled fibers in new products. The manifesto emphasizes Extended Producer Responsibility schemes, binding ecodesign requirements, and educational tools like the Digital Product Passport. It also calls for stronger enforcement to prevent greenwashing and ensure a level playing field.

EuRIC supports the swift removal of the €150 duty exemption, as proposed in the EU Customs Reform of May 2023 and the Commission’s “e-commerce toolbox” of February 2025. This is a critical first step toward fairness. However, Brussels must devise a broader plan to limit ultra-fast fashion imports, including fees on e-commerce items, waste management fees, and consumer awareness campaigns.

The EU has tools, from the DSA and Ecodesign rules to customs reform and the Waste Framework Directive. However, these are only as effective as the political will behind them. Enforcement needs to increase, loopholes must close, and standards must be non-negotiable.

According to a recent report by the Ellen MacArthur Foundation, less than 1% of clothing is recycled into new garments, showing the scale of the problem (Ellen MacArthur Foundation 2024).

The question is: how much more damage must be done before we act?