Shein Sues Temu for Alleged Design Theft and More

TapTechNews August 21st news, according to CNBC, the Chinese fast fashion brand Shein sued its competitor Temu, accusing Temu of stealing its designs and using means such as counterfeiting, intellectual property infringement, and fraud.

Shein filed a lawsuit in the federal court in Washington, D.C. on Monday local time. At the same time, Shein itself has also been subject to similar accusations by brands such as Levi Strauss and H&M.

TapTechNews noted that the complaint mentioned that Temu attracts American consumers to download and use its App at extremely low prices. But Temu does not profit from the sales of these products, and the pricing of these products is so low that Temu has to subsidize each sale, resulting in a loss for each transaction.

Shein alleges that Temu encourages sellers to steal the designs of other brands, and even if the sellers admit infringement, the platform will prevent them from withdrawing the products. Only by encouraging sellers to infringe on the intellectual property rights of others and sell counterfeit or substandard goods can Temu minimize the huge losses it subsidizes.

Shein said that Temu impersonated Shein on social media X with the aim of misdirecting customers from the Shein platform to the Temu platform; the Google ad title sponsored by Temu shows Shein, but the URL is Temu; Temu comprehensively imitates Shein and also poaches resources, employees and suppliers from Shein.