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Sen. Tom Cotton Urges Federal Probe of Shein and Temu Over Alleged Widespread Counterfeiting

06:08 AM, 12/02/2025
Sen. Tom Cotton Urges Federal Probe of Shein and Temu Over Alleged Widespread Counterfeiting

Senator Tom Cotton has asked U.S. federal authorities to investigate Shein and Temu for alleged widespread counterfeiting and intellectual property theft. The request follows the end of the de minimis trade exemption, which pushed both platforms to hold larger inventories in U.S. warehouses. Shein and Temu say they enforce supplier rules, while Texas and French authorities are pursuing separate inquiries into product safety and other alleged violations.

By Arriana McLymore

Republican U.S. Senator Tom Cotton of Arkansas has called on federal authorities to investigate two fast-fashion platforms, Shein and Temu, over allegations of large-scale intellectual property theft and counterfeiting. In a letter to federal law-enforcement officials, Cotton urged the U.S. Departments of Justice and Homeland Security to open formal inquiries into the companies, which ship most of their merchandise from China and have rapidly expanded their presence in the United States.

The move comes after the end of a U.S. trade policy known as the de minimis exemption, which allowed low-value shipments (under $800) to enter the country duty-free. Cotton said that change has forced both companies to alter their business models by storing significant inventory in U.S. warehouses and distribution centers, bringing their goods squarely under U.S. jurisdiction.

"These companies now stock massive inventories in U.S. warehouses and distribution centers. Their goods are no longer slipping through ports — they are sitting on American soil under U.S. jurisdiction," Cotton wrote.

Shein has previously stated that it requires suppliers to certify that products do not infringe others' intellectual property and that it maintains teams to enforce those policies and remove infringing listings. A company spokesperson did not immediately respond to a request for comment for this report. A Temu representative said a comment was not available outside normal business hours.

Separately, state and international authorities have increased scrutiny of Shein. Texas Attorney General Ken Paxton announced an investigation into possible violations of state law related to labor practices and the sale of unsafe consumer products. French prosecutors last week asked a Paris judge to temporarily suspend Shein's operations in the country amid allegations concerning the sale of sexualized dolls and prohibited items.

The allegations highlight broader concerns about how global e-commerce platforms police supplier networks and intellectual property rights as they scale. Lawmakers and regulators face mounting pressure to balance consumer access to low-cost goods with enforcement of safety, labor and IP rules.

Reporting by Arriana McLymore.

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