H & M Hennes & Mauritz AB (publ)

France on Tuesday began implementing a fee system targeting extremely cheap fast fashion, in a bid to curb the surge in low-cost clothing sold on Chinese-origin online shopping sites such as SHEIN and Temu. The measure is part of the "fast fashion law" passed in June to address environmental damage caused by overproduction, imposing fees such as 0.25 euros (about $0.30) on boxer shorts and socks, and 12 euros (about $14) on coats. The fee is capped at 50% of the product's pre-tax sale price and is calculated based on the number of items offered by a brand, their prices, and ease of repair, with plans to raise it further from 2030. France is the first among European Union countries to impose penalties on retailers based on the number of products they offer online. According to SHEIN's prospectus, as of March 31 this year, it offered over 2 million items, with about 4,700 new apparel items added daily. According to authorities, European retailers such as Zara, owned by Inditex, and H&M, which offer fewer items on their sites, are not expected to be subject to the measure. SHEIN and Temu did not respond to requests for comment. China's Ministry of Commerce has expressed that the law is discriminatory and a trade barrier, potentially violating World Trade Organization principles.

Major fashion brands including Zara, H&M, Lululemon, Levi's, and REI are launching their own resale platforms to sell secondhand versions of their products alongside new ones, seeking a share of a global secondhand apparel market projected to reach $393 billion by 2030. The U.S. resale market is expected to hit $78.8 billion by the end of the decade, growing nearly four times faster than overall retail clothing sales last year. H&M reported that resale represented 0.8% of its 2025 turnover, with revenue reaching SEK 1,844 million, a 31% increase from the previous year. Brands are motivated by both sustainability goals and competitive pressure, as resale has largely occurred on third-party platforms like eBay, Poshmark, Depop, and The RealReal. By operating their own marketplaces, companies aim to control the customer experience, strengthen loyalty, and capture revenue throughout a garment's life cycle.