Greece in the Grip of Shein and Temu

The rise of Shein and Temu in Greece is far more than a passing youth shopping trend. It has become a phenomenon with profound economic and social consequences, already costing billions in the European economy and hundreds of millions in Greece.

According to research by the Hellenic Confederation of Commerce and Entrepreneurship (ESEE), Greek consumers spent between €529 million and €627 million on these two platforms in 2024 alone. This corresponds to 17.6% to 20.9% of all e-commerce transactions in the country.

The losses for Greece

Due to the de minimis exemption on parcels up to €150, which remain untaxed, the impact on public finances and domestic businesses is severe. In 2024 alone, Greece lost:

• €11.6–13.8 million in taxes,
• €30–35.5 million in social security contributions,
• €7.6–9 million in payroll taxes,
• €56.5 million in customs duties.

The direct fiscal loss amounts to €105.7–114.8 million, while the total impact on the Greek economy, when including fiscal multipliers, reaches €188–204 million.

To put it in perspective, this equals:

• three times Greece’s revenue from imputed taxation, or
• the entire annual business levy (τέλος επιτηδεύματος).

Meanwhile, 4,725–5,601 jobs in domestic commerce were lost in 2024.

Greece’s European ranking

Greece ranks among the highest in Europe for Shein and Temu penetration:

• 8th place in Europe for Temu purchases,
• 4th place for Shein purchases.

By comparison, in countries like Germany and France, Temu’s share of e-commerce is around 10–12%, while in Greece it exceeds 20%. This shows the disproportionate impact on the Greek retail market.

The giants’ strategy

Shein and Temu invest heavily in advertising: in 2024 alone, their ad spending in Europe reached €1.4 billion. Their main battlefield is social media – particularly TikTok, where they target young audiences with aggressive promotions and ultra-low prices.

Following the abolition of the de minimis regime in the US, their marketing focus shifted to Europe, with Greece emerging as one of the most vulnerable markets.

What ESEE demands

ESEE president Stavros Kafounis warns: “Greek retailers cannot defend themselves when different rules apply. We need a level playing field.”

The Confederation proposes:

• Abolishing the de minimis exemption by 2026,
• Introducing a handling fee for small parcels,
• Establishing a control mechanism for micro-shipments through state–private sector cooperation.

The explosive growth of Shein and Temu represents a life-or-death challenge for Greek commerce. With penetration levels far above the European average, Greece faces a scenario where domestic retail shrinks dramatically, tax revenues evaporate, and thousands of jobs vanish.

Πηγή: pagenews.gr