EU launches probe into Temu over illegal product concerns
The European Commission has initiated formal proceedings against the Chinese shopping platform Temu due to concerns over its failure to effectively prevent the sale of illegal products online. Since its launch in April 2022, Temu has rapidly gained popularity in the EU, amassing around 92 million users by September, but has faced allegations of breaching the Digital Services Act (DSA) by allowing counterfeit and unsafe products to reappear on the site shortly after removal. Various European authorities, especially from Germany, Denmark, and Ireland, have raised concerns about the platform’s lack of adequate control systems and aggressive sales tactics that may exploit consumers. If found in violation of the DSA, Temu could face significant fines. The company claims to take its compliance obligations seriously and is committed to working with regulators to ensure a safe marketplace.