The EU has launched formal proceedings against the Chinese shopping website Temu amid concerns it is failing to halt the sale of illegal products onli

EU launches action against shopping website Temu over illegal products

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2024-10-31 12:00:05

The EU has launched formal proceedings against the Chinese shopping website Temu amid concerns it is failing to halt the sale of illegal products online.

A formal investigation was opened on Thursday with the European Commission citing concerns over the platform, which is a cut-price rival to Amazon.

With its tagline “shop like a billionaire”, the service has rapidly grown in the EU market since its launch in April last year, selling everything from cosmetics to clothing as well as furniture and tech, sourced directly in China to about 100 million users.

The European Commission said it had numerous concerns that the platform, owned by PDD Holdings, was breaching the new Digital Services Act (DSA), which regulates tech firms ranging from Facebook to X and Google.

Among them are concerns that it does not have sufficiently robust systems in place to stop the reappearance of “previously suspended rogue traders” with products re-emerging sometimes within days of being removed.

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