Illegal products on Temu: EU confirms DSA violation

The European Commission has confirmed Temu 's violation of the Digital Services Act (DSA). The Chinese company failed to take the necessary measures to prevent the sale of illegal products on the marketplace. This is just one of four critical issues highlighted at the end of October 2024 .

Temu is a VLOP (Very Large Online Platform) and therefore must comply with all the obligations and prohibitions set out in the Digital Services Act. After examining the responses to the two requests for information ( 28 June and 11 October 2024 ) and the risk assessment report, the European Commission opened an investigation on 31 October 2024 .

One of the four violations detected is the most serious. The Chinese company failed to implement adequate measures to prevent the sale of products that do not comply with European laws. Tests conducted by the Commission confirm the availability of illegal products on the platform, including children's toys .

The Commission also found inaccuracies in the October 2024 risk assessment, as it was based on general industry information rather than specific details related to its market. Temu can now exercise its right of defense, examine the documentation, and respond in writing. If the infringement is confirmed, the Chinese company could be fined up to 6% of its annual global revenue.

A spokesperson said the company will cooperate with the Commission. The investigation will also continue into other issues: addictive design (dark patterns), systems used to recommend products, and access to data for researchers. A second investigation is underway by the Consumer Protection Cooperation Network into violations of consumer protection laws (similar to the one against Shein ).

The European Commission also recently notified AliExpress of a violation of the DSA for the sale of illegal products. Michael McGrath, European Commissioner for Democracy, Justice, the Rule of Law and Consumer Protection, wants to prevent dangerous products from arriving in Europe by eliminating duty exemptions and introducing a parcel handling fee.