UK Lawmakers Frustrated With Shein Representative Responses Over Forced Labor Concerns
U.K. lawmakers at a hearing held Jan. 7 described a Shein lawyer's immediate refusal to answer questions about cotton sourcing in the company's supply chains as "bordering on contempt."
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Yinan Zhu, Shein's general counsel for Europe, the Middle East, and Africa, declined to answer questions at the hearing on whether Shein uses cotton from China, or Xinjiang specifically, in its products, saying that she would be able to provide written correspondence after the hearing. MPs also asked about recent allegations on the use of child labor by Shein contract manufacturers (see 2408260043), but she insisted that she was unable to answer "granular" questions about individual cases.
The questions came at a hearing of the U.K. Parliament's Business and Trade Committee, where members of Parliament questioned legal representatives from Chinese e-commerce websites Temu and Shein over the companies' forced labor standards.
Zhu stated that Shein complies with all laws and regulations of the countries it operates in and that it requires its suppliers to sign up to "robust" standards that it regularly audits using verified third parties.
Committee Chairman Liam Byrne concluded the panel by saying that the committee was "horrified by the lack of evidence that [she] had provided," and that she "had given almost zero confidence in the integrity of [Shein's] supply chains." He stated his hope that the company would be able to provide "basic information" in follow up correspondence to the committee, particularly as Shein hopes to publicly list on the London Stock Exchange early this year (see 2405300043).
In contrast, representatives from Chinese website Temu faced less backlash from MPs, with the company's senior compliance manager able to provide answers on the regulatory framework the company uses to monitor its suppliers. Byrne said that when it comes to Temu, "there is some reassurance about some of your supplier agreements."