Temu, the cross-border e-commerce platform owned by Pinduoduo’s parent company PDD Holdings, has filed a fresh lawsuit against fast-fashion rival Shein in the US Federal Court in Boston, alleging violations of American antitrust laws, according to reports from Reuters.
Temu claimed that Shein has coerced clothing manufacturers into exclusive agreements, thereby impeding collaboration with Temu. This led to increased prices, limited consumer choices, and obstructed the growth of the ultra-fast fashion market in the US, according to Temu's complaint.
Shein responded that the allegations are unsubstantiated and pledged an active defense. Previously, Shein had accused Temu of collaborating with social media influencers to defame Shein. Temu has motioned for the lawsuit's dismissal, the court is reviewing the case.
