Cosatu calls for Shein and Temu ban as cheap imports threaten SA jobs
Cosatu, a major trade union federation in South Africa, has called for a complete ban on Chinese e-commerce platforms Shein and Temu, citing concerns that these companies are undermining local manufacturing and retail sectors through cheap imports. This decision follows warnings from the Southern African Clothing and Textile Workers' Union (SACTWU), which highlighted the negative impact of low-cost imports on domestic businesses. According to a report by the Localisation Support Fund, Shein and Temu collectively generated R7.3 billion in sales within South Africa in 2024, accounting for 3.6% of the clothing, textile, and footwear market and 37% of all online retail sales. The report estimates that the rise of these platforms led to the loss of over 8,000 potential jobs between 2020 and 2024, including 2,800 manufacturing jobs and 5,200 retail positions. Unions argue that these platforms gain an unfair advantage due to tax loopholes, inexpensive labor, and reduced shipping costs.
Cosatu has called for a government ban on international e-commerce platforms Shein and Temu, citing concerns that the companies pose a threat to local jobs and industries. The decision came after the Southern African Clothing and Textile Workers' Union (Sactwu), an affiliate of Cosatu, presented a motion during the 15th National Conference of the federation, held at Emperor's Palace in Johannesburg on 15 October. The motion warned that Shein and Temu could jeopardise up to 34,000 local jobs by 2030. During the conference, Sactwu members displayed placards illustrating the potential impact of the e-commerce platforms on various industries. Each placard depicted items such as handbags, carpets, and textiles, alongside estimates of job losses in respective sectors. These figures ranged from seven to 304 jobs per industry, summing up to a projected loss of 34,000 jobs. Sactwu President Susan Khumalo highlighted the growing dominance of Shein and Temu in the South African market. She stated that the platforms are selling more products than other global retailers and are contributing to job losses while also pushing down wages and deteriorating working conditions. According to Khumalo, if no action is taken, the country could face significant job losses in the clothing and textile industries by 2030. Shein, a Chinese-founded and Singaporean-headquartered e-commerce platform, entered the South African market in 2020 and became the most downloaded shopping app by 2023. Temu, another Chinese-owned platform, entered the market in 2024. Both companies have benefited from low overhead costs, aggressive marketing strategies, high shipment volumes, and tax loopholes, allowing them to undercut local retailers. According to the Bureau for Economic Research, confidence among semi-durable goods retailers dropped significantly in the second quarter of 2024, from 68% to 38%. Retailers such as Shein are reportedly straining domestic clothing retailers. By the end of 2024, Shein and Temu had captured R7.3 billion in sales, representing 37.1% of South Africa's retail, clothing, textile, footwear, and leather e-commerce market. Despite their rapid growth, both Shein and Temu have faced challenges. In 2025, the South African Revenue Service (SARS) removed tax exemptions on imported goods priced below R500, leading to a slowdown in Shein's growth rate to 11%. Sactwu Deputy General-Secretary Membinkosi Vilina emphasized the need for government intervention to prevent further damage to the local industry. He noted that the offshore companies have caused severe harm to the textile sector and other industries such as furniture and jewellery. Vilina warned that without immediate action, the country could lose over 30,000 jobs in the clothing, textile, and footwear sectors by 2030. A recent report by the Localisation Support Fund projected that Shein and Temu's combined sales reached over R7 billion in the 2024 financial year. The report also estimated that up to 34,700 retail and manufacturing jobs could be displaced by 2030. Cosatu has endorsed Sactwu's campaign, urging members to delete their Shein and Temu apps and support local retailers.
Go to the primary sources (1)
The official sources this coverage is built on. Read them directly to bypass framing.
Cosatu, a major labor union in South Africa, has called on the government to impose a ban on Chinese e-commerce platforms Shein and Temu to prevent job losses in the domestic textile and manufacturing sectors. The union argues that these foreign companies undermine local industries by offering cheaper products, leading to reduced demand for locally produced goods. However, economic experts warn that such a ban might not address the root causes of job losses in manufacturing and could instead drive consumers toward illegal marketplaces, exacerbating existing problems. This debate highlights the tension between protecting local jobs and addressing broader structural issues within South Africa's economy.
Bias read (Center): The article presents both perspectives, Cosatu's call for government action and economists' warnings against potential negative outcomes, without favoring one side. It does not use biased language, provide one-sided sourcing, or omit significant context. The framing remains balanced, reflecting the nu
Why factuality (78): The article provides specific details about Cosatu's motion, the 2025 study estimating job losses, and quotes from Sactwu president Susan Khumalo. These elements align with the cross-source consensus, though the exact methodology of the study is not detailed, leaving some room for uncertainty.
Why objectivity (72): The article presents the concerns raised by Cosatu and Sactwu but does not provide counterarguments or perspectives from the e-commerce companies or the government. This creates a somewhat one-sided narrative despite maintaining a formal tone.
Cosatu, a major trade union federation in South Africa, has called for a complete ban on Chinese e-commerce platforms Shein and Temu, citing concerns that these companies are undermining local manufacturing and retail sectors through cheap imports. This decision follows warnings from the Southern African Clothing and Textile Workers' Union (SACTWU), which highlighted the negative impact of low-cost imports on domestic businesses. According to a report by the Localisation Support Fund, Shein and Temu collectively generated R7.3 billion in sales within South Africa in 2024, accounting for 3.6% of the clothing, textile, and footwear market and 37% of all online retail sales. The report estimates that the rise of these platforms led to the loss of over 8,000 potential jobs between 2020 and 2024, including 2,800 manufacturing jobs and 5,200 retail positions. Unions argue that these platforms gain an unfair advantage due to tax loopholes, inexpensive labor, and reduced shipping costs.
Bias read (Progressive): The article presents the stance of trade unions advocating for economic protectionism to preserve local jobs, which aligns with left-leaning policies focused on labor rights and economic equity. The framing emphasizes the threat posed by foreign corporations to domestic industries, suggesting a pro-
The South African Clothing and Textile Workers Union (Sactwu), part of the Congress of South African Trade Unions (Cosatu), has called for a government ban on offshore e-commerce platforms like Temu and Shein. These platforms are accused of undercutting local businesses through low-priced imports, threatening jobs in the clothing, textile, and related industries. According to Sactwu, the influx of cheap foreign products risks displacing over 30,000 jobs in the sector by 2030. A recent report estimates that Shein and Temu together generated over R7 billion in sales in South Africa during the 2024 financial year, while projecting significant losses for local manufacturers and retailers. Cosatu has endorsed the call for a ban, arguing it would protect domestic industries and create employment.
Bias read (Progressive): The article presents a strong advocacy position from trade unions calling for government intervention to ban foreign e-commerce platforms, emphasizing protectionism and job preservation. The framing highlights threats to local industries and workers, aligning with progressive economic policies that
How each side covered it
The same event, grouped by the political lean of the outlets covering it.
progressive
center
conservative
★
How each side covered it
Support independent, bias-aware news and unlock the social pulse, community voting, and every other Supporter feature.
%2Ffile%2Fattachments%2Forphans%2FNaledi-SACTWUMAIN_264212.jpg&w=3840&q=75&output=webp&we)
ZA
%2Ffile%2Fattachments%2Forphans%2Fmphego-court-caryn2_236334.jpg&w=3840&q=75&output=webp&we)
%2Ffile%2Fattachments%2Forphans%2FThammCradock3_117588.jpg&w=3840&q=75&output=webp&we)