Products "dangerous"

EU Commission initiates proceedings against Temu

The sale of counterfeit and potentially dangerous products is not permitted under EU directives.

(Bild: AFP)

The EU Commission suspects the Chinese online marketplace Temu of violating EU law. The Brussels authority has initiated formal proceedings to examine whether the platform is taking sufficient action against the sale of illegal products. The potentially addictive design of the service is also to be investigated.

Among other things, the online marketplace is accused of not doing enough to combat illegal products. Certain rogue traders would reappear on the platform after they had been blocked, according to the Commission. There is also a risk that the platform could become addictive through reward programs. This could have negative consequences for a person's physical and mental well-being. The Commission now wants to gather further evidence, for example through interviews.

In a preliminary investigation, the Brussels authority had already requested detailed information from Temu about the measures taken to prevent the reappearance of traders selling illegal products on its online marketplace. The Commission also wanted information on how the risks to consumers are being mitigated.

Temu shows cooperation
In response to the EU proceedings, Temu stated that it takes its obligations seriously and is continuously investing to strengthen its regulatory system and protect consumer interests on its platform. "We will cooperate fully with the supervisory authorities to support our common goal of a safe and trustworthy marketplace for consumers," the company added.

The Brussels authority had already opened similar proceedings against X (formerly Twitter), TikTok and AliExpress. Large online platforms are obliged by a new EU law on digital services to take strict action against illegal content online.

In Germany, for example, Temu is already one of the country's largest online retailers after one and a half years on the market. According to a survey conducted by GfK Consumer Panel Services, part of the opinion research institute YouGov, the shopping portal ranked sixth among the top online retailers in terms of the number of orders in the first half of 2024.

However, sales representatives, politicians and consumer advocates criticize product quality, unfair competitive conditions and a lack of controls, among other things. The platform rejects such accusations.

Tensions with China
The Brussels proceedings against Temu are taking place at a time when economic tensions with China are on the rise. Additional EU tariffs on electric cars imported from China have been in force since Wednesday. Prior to the EU Commission's decision, a sufficiently large majority of EU member states voted in favor of the punitive tariffs at the beginning of the month. Germany voted against the measure out of concern about a new major trade conflict and possible retaliatory measures against German manufacturers.