South Africa’s biggest union federation wants Temu and Shein banned. The regulator investigating both platforms has yet to publish a single finding. Cosatu backed a ban motion at its 15th National Congress in Johannesburg this month, according to Business News South Africa, citing Daily Maverick. No ban has been tabled, and government has not said it will act.
The call lands almost a year after the National Consumer Commission (NCC) served both companies with investigation notices. It puts the Temu and Shein probe in South Africa under fresh political pressure. It also raises a harder question: is a ban the right remedy, or has the NCC simply taken too long?
What Cosatu Resolved at Its Congress
The clothing and textile union Sactwu presented the motion on October 15. Cosatu resolved to back it. It also urged members to delete both apps and buy only from local retailers.
Shein entered South Africa in 2020. Temu followed in January 2024. By the end of 2024, the two had captured R7.3 billion in sales, or 37.1% of the e-commerce market for retail, clothing, textiles, footwear and leather, according to Daily Maverick, citing Reuters.
Neither company had commented on the motion in the coverage TechMoonshot reviewed.
A Probe With No Published Findings
The NCC confirmed in November 2025 that it was testing both platforms against the Consumer Protection Act. The scope covers marketing claims, product quality, labelling and fee disclosure. NCC executive head Prudence Moilwa also flagged concern about how recommendation algorithms steer shoppers and use their data.
The stakes are real. TechCentral reported that administrative penalties could reach R1 million or 10% of annual South African turnover. Both companies said they would cooperate.
Then the clock stalled. In December, the NCC told BusinessDay the probe was at an early stage with no preliminary findings. It also said only 24 of the 12,000 complaints it received in 2025, about 0.2%, involved Temu or Shein. WeeTracker later reported that findings were expected by February 28. TechMoonshot found no published outcome in the sources it reviewed as of October 20.
That gap matters. A union is now asking for a ban before the regulator has reported on a probe that began with a thin complaints record. The NCC owes the public a status update, or at least a timeline.
The 34,000-Jobs Figure Is a Projection
Cosatu’s case leans on a 2025 study that put up to 34,000 local jobs at risk by 2030. The Localisation Support Fund, a non-profit, commissioned the research from consultancy B&M Analysts. Business News South Africa notes the figure is modelled under growth scenarios, not a count of jobs already lost.
The same coverage points to a loose end. The study’s worst-case split, 16,400 manufacturing jobs and 18,300 retail jobs, adds up to 34,700. The headline says 34,000. Nobody in the coverage explains the difference.
The study did not call for a ban. Its suggestions included better labelling, simpler returns, extended producer responsibility, and registration and licensing for offshore online retailers. Economist Refilwe Moloto told Daily Maverick that a ban would encourage “irregular and non-regulated trading.” She added that local makers also fight high energy costs and a collapsed rail network.
The Tax Rules Have Already Changed
Pricing has shifted since the study’s baseline. Until 2024, parcels under R500 paid a flat 20% duty and no VAT. From September 1, 2024, the South African Revenue Service added 15% VAT on top, which it called an interim step.
Daily Maverick reports that Shein’s growth slowed from 30% to 50% a year to 11% in 2025. If that holds, some of the damage the study projects may already be priced out. MyBroadband separately reported that the South African Reserve Bank plans to monitor the payment aggregators behind both platforms.
What Comes Next for Cross-Border E-Commerce in Africa
South Africa is not alone. Nigeria’s data protection regulator opened its own investigation into Temu in February, citing the personal data of roughly 12.7 million Nigerians. Temu said it would work with the regulator.
Local rivals are chasing the same shoppers on speed. Logistics and transport startups raised $149 million in the first quarter of 2026, according to TechMoonshot’s tracker. Policymakers are also courting local makers, with a $2 million prize targeting African manufacturing technology.
Pressure now falls on the NCC. It can answer the union by publishing findings or a firm deadline. Until then, the Temu and Shein probe in South Africa runs on promises, while the ban debate runs on projections.
