2024-10-31 11:58:00
Possible violation of EU law
Brussels opens proceedings against online marketplace Temu
The EU Commission wants to check whether the platform is taking sufficient action against the sale of illegal products.
Published today at 12:58 p.m
The EU Commission is taking action against the Chinese platform Temu.
Photo: IMAGO/NurPhoto
The European Commission suspects the Chinese online marketplace Temu to violate EU law. The Brussels authority initiated a formal procedure to check whether the platform was taking sufficient action against the sale of illegal products, it said in a statement. In addition, the potentially addictive design of the service should be examined.
Among other things, the online marketplace is accused of not doing enough to combat illegal products. The commission said that certain dubious traders would reappear on the platform after they had been blocked. There is also a risk that the platform will become addictive through reward programs. This could have negative consequences for a person’s physical and mental well-being. The commission now wants to continue collecting evidence, for example through interviews.
Brussels has also taken action against other platforms
In a preliminary investigation, the Brussels authority had already requested detailed information from Temu about the measures taken to prevent the re-emergence of traders selling illegal products on its online marketplace. The Commission also wanted information on how the risks to consumers would be mitigated.
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 (DSA) to take strict action against illegal content online.
Temu is very popular in Germany
Temu counts on the market after a short time already one of the largest online retailers in Europe. However, sales representatives, politicians and consumer advocates criticize, among other things, product quality, unfair competition conditions and a lack of controls. The platform rejects such allegations.
The Brussels trial against Temu comes at a time when economic tensions with China are rising. EU additional tariffs on electric cars imported from China have been in effect since Wednesday. Before the EU Commission’s decision, a sufficiently large majority of EU 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 retaliation against German manufacturers.
DPA/anf
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The European Commission has initiated a formal procedure to investigate the Chinese online marketplace Temu, suspecting it of violating EU laws, particularly regarding its efforts to combat the sale of illegal products. This action underscores concerns about the platform’s efficacy in managing illegal listings, with the Commission noting that certain suspicious sellers have been able to return after being blocked.
Additionally, the Commission is examining the potentially addictive nature of Temu’s design, which includes reward programs that might negatively impact users’ mental and physical well-being. As part of the investigation, the Commission will continue to gather evidence, including conducting interviews.
The scrutiny on Temu comes amid similar investigations into other major platforms such as X (formerly Twitter), TikTok, and AliExpress. The EU’s Digital Services Act (DSA) mandates that large online platforms enforce stringent measures against illegal online content, ensuring a safer digital environment for consumers.
Temu, which is notably popular in Germany, has been asked to provide detailed information on its strategies to prevent the recurrence of illegal traders and to mitigate consumer risks.