Why Temu is facing a full investigation in Europe ?

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This is a case that Temu could have done without. The European Commission has just launched an investigation into the Chinese e-commerce giant, which it suspects of selling illegal, even dangerous, items. If found guilty, the service could face a fine of up to 6% of its annual turnover under the Digital Services Act (DSA).

The details of the charges against Temu

Quoted in a statement, Competition Commissioner Margrethe Vestager stressed:

We want to make sure that the products sold (on Temu’s platform) comply with EU standards and do not put consumers at risk.

As our colleagues at Liberation, these investigations will focus in particular on ” the systems put in place to limit the sale of non-compliant products in the European Union” and in particular the means implemented ” to prevent the re-emergence of undesirable traders, previously suspended “ for this reason.

The European authorities will also look into ” the risks linked to the addictive design of the online sales service”, including rewards programmes ” which may have negative consequences on the physical and mental well-being of users ».

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The service's product recommendation systems will also be scrutinized. Indeed, we know that European legislation forces web giants to show their credentials on these different parameters. Europe has not set a deadline for carrying out its investigation.

Temu's response

A company spokesperson spoke out:

Temu takes its obligations under the Digital Services Regulation very seriously and continually invests to protect the interests of consumers. We will cooperate fully with regulators.

In early October, the company also explained that it had “taken significant steps” since the spring and that it was continuing to refine its methods “under the Digital Services Regulation”.

Temu is a hit in France

As a reminder, these Chinese platforms have taken on considerable importance in recent years in France. The director of La Poste, Philippe Wahl, has just revealed before the Senate Economic Affairs Committee that the Chinese services Shein and Temu represent 22% of the packages processed by the public company.

Moreover, this share is more significant in France than in our neighboring countries, which underlines the popularity of these Chinese companies in our countries. To find out more, you can always reread our dedicated article here.

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