South Africa’s consumer regulators say the country’s laws need to be updated to keep pace with the rapid growth of e-commerce, as the National Consumer Commission continues its investigation into Chinese giants Temu and Shein.
The commission is examining possible breaches of the Consumer Protection Act, including marketing practices, product quality, labelling and disclosure of fees.
The commission has confirmed that its probe, announced in November, is still at an early stage, with investigators gathering information from the Chinese e-commerce companies.
Both are co-operating with the investigation, it said.
While regulators are scrutinising the two fast-growing platforms, the consumer goods and services ombud told Business Day that the volume of complaints against them remains relatively small. Of the 12,000 complaints received so far in 2025, only 0.2% or 24 cases related to Temu or Shein.
Ombudsman Lee Soobrathi said the most common complaints were late deliveries and products arriving not as ordered. A 50% resolution rate has been recorded in favour of consumers, he said.
Soobrathi said these complaints are not unique to Temu or Shein, noting that similar issues are seen across local e-commerce platforms, especially those that host multiple third-party sellers.
“E-commerce in general has evolved immensely over the past few years. As such, one needs to reassess the legislation that governs consumer protection in this area for it to remain relevant and robust enough to address the complexities of complaints that we see today,” he said.
Shein said it is co-operating with authorities to ensure compliance and maintain a safe shopping experience.
“We have been working constructively with national consumer authorities in our markets to demonstrate our commitment to complying with local laws and regulations, and we are continuing to engage in this process to address any concerns. Our priority remains ensuring that consumers can have a safe, reliable and enjoyable online shopping experience.”
Temu did not respond to requests for comment.
For now, the commission has made no preliminary findings and the investigation continues.
It is not the first time Temu and Shein have come under fire in South Africa. Their rise has intensified pressure on local industries, according to reports.
A recent study commissioned by the Localisation Support Fund warned that more than 34,000 South African jobs could be lost by 2030 as offshore e-commerce platforms continue to gain market share, with 8,000 jobs already shed.
While the government has begun tightening import rules, including scrapping low-value parcel exemptions, experts have said deeper reforms are needed to protect consumers, enforce compliance and integrate local suppliers into the digital economy.
But both retailers continue to defend their fast-growing business models, saying their expansion reflects strong consumer demand for affordability and value. The two platforms generated an estimated R7.3bn in sales in 2024 in South Africa.
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