business
Aussie industry’s $12 billion nightmare
Aussie industry’s $12 billion nightmare
Key points
- Temu, Shein and Amazon collectively generated close to $12 billion in retail sales in 2025, according to Roy Morgan.
- A News Corp Back Australia survey found 56 per cent of more than 2000 Aussies supported a fast fashion tax on ultra-cheap international
- France's fast fashion fees range from €0.25 (40 cents) to €12 ($19.40), capped at 50 per cent of the product's pre-tax sales price.
Why it matters. Industry groups fear more Australian labels will close unless the government supports local retailers, and Australia Post research estimates Amazon, Temu and Shein could control about 50 per cent of the online market by 2030.
Australia is being urged to introduce a fast fashion tax on ultra-cheap retailers like Temu and Shein as more local labels close, including Cue and Veronika Maine. Temu, Shein and Amazon collectively generated close to $12 billion in retail sales in 2025, according to Roy Morgan, an increase of more than $2 billion on the year before. Australian Retail Council chief executive Chris Rodwell said the country was 'clearly lagging' and called for a major parliamentary inquiry.
Latest updates
Aussie industry’s $12 billion nightmare
Australia is being urged to follow France’s lead and introduce a fast fashion tax on ultra-cheap retailers like Temu and Shein, as we see more and more local retailers shut up shop. Cue and sister label Veronika Maine are among the latest in a string of Aussie retailers closing their doors. And it’s feared more labels will continue “dropping like flies” unless the government steps in and supports Aussie retailers. Want more finance news? Download our new app for even more coverage “They’re all struggling. So it’s just like a ticking time bomb at this stage. If we don’t do something right now, the future of Australian fashion is going to be ultra-fast fashion,” Nina Gbor, sustainable educator, researcher and founder of EcoStyles, told news.com.au. News Corp’s Back Australia survey found 56 per cent of more than 2000 Aussies surveyed supported introducing a “fast fashion tax” on ultra-cheap international retailers like Temu and Shein, with 29 per cent strongly supporting and 27 per cent somewhat supporting the move. But at the same time, 31 per cent admitted they would not pay more for Aussie products and would only choose Australian-made goods if the price was identical. Aussies bought an average of 55 new garments in 2024, with more than 880 million of these (about 220,000 tonnes) ending up in landfill. Clothing purchases have accelerated recently following the emergence of ult.