Shein and Temu together sell around 3.3 billion euros worth of products in Germany, according to the German Retail Federation (HDE). One in five German consumers plans to make purchases from the Chinese platforms in the run-up to Christmas. “That is somewhat of a paradox”, says HDE director Stefan Genth.

German online shoppers seem largely unfazed by the proven lack of safety in many of the products sold on these platforms, Genth explains. He refers to a recent investigation by four European consumer organizations, which found last week that 70 percent of the tested products did not comply with EU safety standards, with a quarter even classified as dangerous. Consumers, however, appear barely discouraged.

Shein and Temu in Germany

This year, German consumers are expected to spend around 8 billion euros at online shops outside the European Union. Of that total, Shein and Temu account for 3.3 billion euros, according to HDE’s forecast. “It is an estimate, but we are fairly confident that we now have the correct order of magnitude”, said HDE president Alexander von Preen. “The trend is strongly upward.”

 ‘The trend is strongly upward’

The actual impact of Chinese platforms is even greater than the 3.3 billion euros, partly because AliExpress, which is also expanding in Europe, is not included in this figure. HDE, by the way, does not classify Amazon as a retailer from a third country outside the European Union. According to retail institute EHI, the American company’s sales volume in Germany reached more than 52 billion euros last year.

Measures against Chinese platforms

Like several other interest groups, HDE advocates the abolition of customs exemptions for goods imported from outside the European Union with a value of up to 150 euros. This change is scheduled for 2028. The federation also calls for better enforcement of existing rules to ensure a level playing field.
 
HDE forecasts a 4 percent increase in German ecommerce this year. The market is expected to reach a total value of 92.4 billion euros in sales, with Shein and Temu accounting for between three and four percent of that total.

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