Shein filed a lawsuit against Temu, accusing the rival e-commerce platform of counterfeiting goods, stealing trade secrets, and encouraging sellers to infringe on intellectual property rights and sell counterfeit products.
Both Shein and Temu have faced accusations of copying designs from fashion brands and artists.
Shein is facing multiple lawsuits from brands like Levi Strauss and H&M over alleged infringement.
Both Shein and Temu have faced criticism for their labor practices and connections to the Chinese government. Shein is reportedly preparing to go public in the U.S.
Temu is accused of luring U.S. consumers with low prices on its mobile app while allegedly losing money on every sale by subsidizing each transaction.
Shein and Temu have a history of rivalry, with allegations of copying designs, marketplace dominance, and previous legal battles involving accusations of intimidation tactics and false imprisonment.
This article was written in collaboration with Generative AI news company Alchemiq
Sources: CNBC, Forbes, Nikkei, DW, The Verge, El Mundo, Esmael Morais, Liberty Times Net, Zócalo, La Vanguardia, Vanguardia, CnBeta, El Financiero, El Universal, Tiempo, Infobae, Yahoo, Xataka, Sydney Morning Herald.