Fashion War in Court: Shein Accuses Temu of Stealing Thousands of Product Photos

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The Battle Begins at London's High Court

A two-week trial opened Monday at London's High Court, pitting Chinese-founded fast-fashion giants Shein and Temu against each other in what lawyers describe as a landmark case for the entire online retail industry.

Shein alleges that Temu used thousands of photos — taken by Shein's own employees — to advertise near-identical products on its platform. In court, Shein's attorney Benet Brandreth called it copyright infringement "on an industrial scale," arguing that Temu was trying to "piggy-back" on a more established competitor to gain an unfair market edge.

Temu flatly denies the accusations.

Nearly 2,300 Photos at the Center of the Dispute

A notable development came on the trial's opening day: Temu dropped its defense against Shein's copyright claims relating to nearly 2,300 specific photos. Shein's legal team likened this to a defendant pleading guilty only when witnesses show up in court.

These photos, all taken by Shein staff, allegedly appeared on Temu's platform to market what Shein describes as direct copies of its own-brand clothing lines.

Temu Strikes Back

Temu — owned by PDD Holdings, which is listed on the Nasdaq — is not simply playing defense. The company has filed a counter-claim, seeking financial damages for products it was forced to remove after Shein obtained a court injunction earlier in the proceedings.

Temu's lawyers argue the lawsuit is not a genuine effort to protect intellectual property, but rather a calculated move to gain a competitive advantage. In a separate part of the case — expected to go to trial next year — Temu also accuses Shein of breaking UK competition law by locking fast-fashion suppliers into exclusive agreements.

A Global War Between Two Retail Giants

The London proceedings are just one front in an ongoing global legal conflict. Both companies have filed lawsuits against each other in the United States as well. The broader dispute touches on platform practices, supplier exclusivity, and the enforcement of intellectual property rights in international e-commerce.

Both Shein and Temu have built massive global businesses on a simple formula: extremely cheap clothing, accessories, and gadgets delivered fast to customers worldwide. Their rise has rattled established retailers. U.S. chain Forever 21, for example, cited pressure from exactly this kind of competition as a key factor in its recent bankruptcy and store closures.

Regulatory Storm Clouds Gathering

Legal troubles are only part of the pressure both companies are facing. Regulators in the United States and Europe have been scrutinizing their business practices for some time.

In the U.S., the Trump administration ended the so-called "de minimis" exemption for Chinese imports in August 2025. This rule had previously allowed packages worth under $800 to enter the country duty-free — a loophole both Shein and Temu heavily relied upon. Its removal has already led to price increases of 20 to 40 percent across both platforms, according to logistics analysts.

The European Union is set to take similar steps in July 2026. The EU has separately launched investigations into both companies over allegations of selling illegal products and using addictive design features to keep users on their platforms.

A U.S. Senate Republican also called on the Department of Justice and Department of Homeland Security to investigate both companies over national security and supply chain concerns.

What's at Stake

The outcome of the London trial could set important precedents — not just for Shein and Temu, but for how e-commerce platforms worldwide handle copyright, supplier relations, and competitive behavior.

For consumers, the bigger picture is clear: the era of near-zero-cost Chinese fast fashion arriving at doorsteps with no strings attached may be coming to an end — shaped as much by courts and customs officials as by the market itself.

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Sources:

1. Reuters – Shein accuses Temu of 'industrial scale' copyright breaches in UK legal battle (May 11, 2026): https://www.reuters.com/legal/litigation/shein-accuses-temu-industrial-scale-copyright-breaches-uk-legal-battle-2026-05-11/
2. Reuters – Shein fends off U.S. antitrust and trade secret claims in Temu lawsuit (October 2025): https://www.reuters.com/legal/litigation/shein-fends-off-us-antitrust-trade-secret-claims-temu-lawsuit-2025-10-01/
3. BBC / Marketplace.org – How the end of the de minimis exemption hit businesses (December 2025): https://www.marketplace.org/story/2025/12/26/how-de-minimis-exemption-end-hit-businesses
4. Axios – Trump triples tariff affecting Shein and Temu packages (2025): https://www.axios.com/2025/04/09/trump-tariffs-temu-shein-de-minimis
5. Reuters – EU says Temu breached rules to prevent sale of illegal products (July 2025): https://www.reuters.com/sustainability/eu-says-temu-breach-rules-prevent-sale-illegal-products-2025-07-28/
6. Internet Retailing – Shein, Temu set to face UK trial over copyright and competition claims: https://internetretailing.com.au/shein-temu-set-to-face-uk-trial-over-copyright-and-competition-claims-in-2026/

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