Details
- The European Commission said Temu, the Chinese-owned low-cost online marketplace, violated the EU’s Digital Services Act by failing to properly identify, analyse and assess risks from illegal products sold on its platform.
- The fine is worth €200m, or about $232m, and is the largest penalty issued so far under the Digital Services Act.
- Regulators said a mystery shopping test found that many chargers sold through Temu failed basic electrical safety checks.
- The Commission also said some baby toys contained chemicals above legal limits or had small detachable parts that posed suffocation risks.
- Temu must submit a corrective action plan by August 28, after which EU regulators will decide whether its response is enough.
- Temu said it disagreed with the decision, considered the fine disproportionate and was reviewing its options.
- The case comes as Brussels increases scrutiny of Chinese e-commerce platforms. The European Commission is also investigating Shein and AliExpress.
What Else
The Temu fine signals that the EU is moving beyond warnings and using the Digital Services Act to force large online marketplaces to police risky products more aggressively. It also adds to broader European concerns about cheap Chinese goods, consumer safety and whether local companies can compete fairly with fast-growing online platforms.