DAILY MENTOR, July 28, 2025 - The European Commission has formally found that Temu, a Chinese e-commerce platform popular for its ultra-cheap products, is in violation of the EU’s Digital Services Act (DSA) due to inadequate measures to prevent the sale of illegal and hazardous goods on its platform.
In its preliminary investigation, initiated in October 2024, the Commission discovered a significant risk for European consumers encountering illegal products such as unsafe baby toys and small electronic devices when shopping on Temu. An undercover mystery shopping probe revealed that Temu’s risk assessment was insufficient and relied on broad industry data instead of specific information from its own marketplace, leading to ineffective controls against non-compliant products.
If confirmed, these breaches of EU rules could subject Temu to fines of up to 6% of its total global annual revenue. The Commission further criticized Temu for misleading discount practices, fraudulent reviews, lack of vendor transparency, and employing addictive design features within its app.
Temu has pledged full cooperation with the Commission and now has an opportunity to respond to these findings in writing before any final penalties or corrective mandates are imposed.
This investigation highlights the EU’s rigorous enforcement of digital marketplace regulations aimed at safeguarding consumer safety and maintaining a fair, transparent online environment.
READ ALSO: EU and China Mark 50 Years of Diplomatic Relations Amid Complex Challenges
