Push for new tax that could make shopping giants Temu and Shein more expensive for Aussies

Australians could soon face another tax at the checkout, with growing calls for the Federal Government to follow France’s lead and crack down on ultra-fast fashion giants. Online retailers like Temu and Shein are rapidly expanding their share of the Australian market, with estimates suggesting the three companies could control about 50 per cent of the online market by 2030.

EcoStyles founder Nina Gbor, who is among the researchers calling for government intervention, said Australia has become one of the world’s biggest consumers of ultra-fast fashion. “We know that Australia is one of the biggest consumers of ultra-fast fashion in the world per capita,” Gbor told Sunrise on Tuesday. “We’re right up there in overconsumption with countries like the US. “We discard over 300,000 tonnes of clothing every single year; the average Australian buys around 55 items per year. “I’d say it’s pretty bad. It’s pretty epic.” Gbor said individuals could help reduce the amount of clothing being discarded, but warned government intervention was needed to tackle the problem. “We need the government to help with things like legislation, the way France has done, in Australia. To make it more competitive for Australian brands to be able to compete.” How would a fast fashion tax work? France has moved to introduce measures targeting ultra-fast fashion, with legislation passed by its Senate in 2025.

Under the proposed model, additional charges would be applied to ultra-fast fashion items, making them more expensive for consumers. “In 2025, the French Senate passed legislation to tax ultra-fast fashion, so add about sort of 5 euros onto each garment to make it more expensive,” Gbor said. “Then in September this year, they added penalties and fines. “So, for example, underwear would have an extra 50 cents, a jacket would have an extra 19, 20 dollars, that sort of thing.” Gbor said a similar apporach in Australia could help level the playing field for local designers and manufactuers. However, she said any Australian model should also include measures to support the domestic fashion industry. “What we want the government to do is support the Australian fashion industry through investments, subsidies, and make it more affordable for Australians to buy Australian fashion,” she said. “We have a lot of young people coming up who are very, very talented designers. We want them to be able to enter the market and be competitive as well.”