ALBAWABA - In a heated legal confrontation, tech giants Shein and Temu are embroiled in a series of lawsuits filed against each other in the United States. The latest escalation came when Shein accused Temu of violating antitrust laws, alleging that the rival company sought to monopolize suppliers and engaged in other unlawful practices.
The contentious legal battle between the two fast-fashion upstarts has been ongoing for several months and has now reached new heights with each company filing complaints against the other. Last December, Shein sued Temu, claiming that the latter mobilized social media influencers to defame Shein online.
In the recent lawsuit filed by Temu in a Massachusetts federal court, the company asserts that Shein has employed a range of tactics, including threats, intimidation, false infringement claims, and imposing baseless fines on clothing manufacturers associated with Temu. Shein is also alleged to have enforced exclusivity deals with these manufacturers to prevent them from doing business with Temu.
Both Shein and Temu, originally from China, have made a name for themselves as online retailers specializing in a rapid version of fast fashion, catering to fleeting trends with affordable products. They have even outperformed established industry giants like Zara and H&M in terms of speed and digital customer engagement.
The entry of Temu into the United States market, followed by its remarkable growth and success, is said to have unnerved Shein, leading to what Temu describes as an "elaborate and anticompetitive scheme" devised by Shein to hinder Temu's business.
The legal disputes between these two fashion retailers are becoming increasingly intense, drawing attention to the competitive nature of the industry. As the legal battles continue, both companies are striving to establish their legitimacy in court while challenging the credibility of the other.
The ongoing spats have not only affected their businesses but also led to the removal of thousands of product listings from Temu's platform. Both companies vehemently deny the allegations against them and have vowed to defend their rights and interests vigorously. With both sides firmly entrenched in their positions, the legal showdown between Shein and Temu shows no signs of abating anytime soon.
