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Toxic components found in products from Shein, Temu and AliExpress

Authorities in Seoul, South Korea, analyzed a total of 144 objects that users can easily find and purchase from any of these three Chinese companies. Toxic substances such as phthalates, formaldehyde or dioxane were found in much of their merchandise.

Shein pop-up store at the Square One Shopping Centre. (Photographer's note: good luck on the IPO, Shein!)

Photo of one of Shein's pop-up stores that opened in Square One Shopping Centre in Canada.Wikimedia Commons

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Shein, Temu and AliExpress all sell products with toxic components. That is the conclusion reached by authorities in Seoul, South Korea, after an analysis of 144 items between July 12 and Aug. 9 that users can easily buy online from these Chinese companies.

These brands have been rapidly gaining popularity in recent years as they offer a wide variety of fashion apparel and accessories at very low prices, which helps them compete with large multinational corporations such as Amazon.

But all is not as pretty as it seems. The price of their products caught the attention of the European Union and South Korea, which decided to tighten their regulations on business practices and safety standards.

That's when officials in Seoul decided to conduct weekly inspections of the items these three retailers sell online. They did so after becoming aware that, perhaps, the brands had lowered their costs via the components they use to make their products.

This dangerous practice has been confirmed. The investigators determined that Shein, Temu and AliExpress failed to meet several regulations and that "multiple products from all companies" contained toxic components. Specifically, the analysts reported, a total of 11 out of 144 products were harmful to health.

Shein is undoubtedly the one that authorities are most concerned about. As the investigators explained to AFP, they found substances such as phthalates, a chemical used to make plastics more flexible, in the brand's shoes at a level 229 times the legal limit in just one pair.

While investigating Shein, they also found twice the allowable level of formaldehyde, a chemical commonly used in building products.

These garments were not the only products tested that did not comply with legal regulations. Also investigated were two bottles of nail polish sold by the brand. The results were also of concern to authorities. Both bottles contained more than three times the recommended level of dioxane, a possible human carcinogen that can lead to liver poisoning, as well as concentrations of methanol 1.4 times the accepted limit.

Shein said, in statements reported by Voice of America, that they "work closely with international third-party testing agencies ... to regularly carry out risk-based sampling tests to ensure that products provided by suppliers meet Shein's product safety standards."

In addition, the company added that its suppliers "are required to comply with the controls and standards we have put in place as well as the product safety laws and regulations in the countries we operate in."

Sandal insoles and a hat: Temu's products with toxic components

Temu was also not spared from the tests and, like Shein, also failed them. In its case, it was a pair of sandal insoles that set off the alarms of the South Korean authorities, as they contained 11 times more lead than legally permitted.

The Chinese brand quickly started an internal investigation into the matter and recalled the two products that failed the test.

"Upon receiving notice from the Seoul city government, we immediately launched an internal investigation. Of the 11 products identified, two items — a pair of sandals and a hat — were from Temu. We have swiftly removed these product listings from our global marketplace and are enhancing our systems and guidance to merchants to ensure they comply with safety standards and local regulations," a Temu spokesperson assured Business Insider.

Shein sues Temu for copying its products

While authorities express doubts about the safety of products for sale on Shein, Temu and AliExpress, these Chinese brands have their own war on their hands.

Thus, Shein filed this Tuesday a lawsuit against Temu in a Washington, D.C., court. In the 80-page brief, which was accessed by CNBC, the Chinese company accused its rival of counterfeiting, intellectual property violations and fraud.

"Temu draws U.S. consumers into downloading and using its mobile application with promises of extremely low pricing. But Temu is not profiting from the sale of these products, which are priced so low that Temu must subsidize each sale, losing money on every transaction."Lawsuit filed by Shein against Temu in a Washington, D.C., court

In the court document, Shein also accused Temu of misleading advertising and, more seriously, trade secret theft. According to the Chinese company, Temu allegedly committed this violation by stealing "valuable trade secrets" detailing the company's best-selling products and internal pricing information.

These actions, according to Shein, demonstrated that "Temu has gone to great lengths to imitate Shein, including by poaching resources, employees, and suppliers from Shein." 

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