The European Commission has fined Chinese online marketplace Temu €200 million for violating the EU’s Digital Services Act (DSA) by failing to prevent the sale of illegal and unsafe products to European consumers.
In a statement release today, the Commission said Temu had “failed to diligently identify, analyse, and assess the systemic risks of illegal products being offered on its platform and the resulting harm to consumers in the European Union,”.
Brussels found that Temu’s 2024
The European Commission has fined Chinese online marketplace Temu €200 million ($232 million) for violating the European Union’s Digital Services Act (DSA) by failing to prevent the sale of illegal and unsafe products to European consumers.
In a statement released today, the Commission said Temu had “failed to diligently identify, analyse, and assess the systemic risks of illegal products being offered on its platform and the resulting harm to consumers in the European Union”.
Brussels found that Temu’s 2024 risk assessment failed to meet the standards required under the bloc’s digital rulebook.
According to the Commission, the company relied on vague and generic assessments of risks across the wider e-commerce sector instead of examining evidence linked specifically to its own platform.
EU investigators — who opened the formal probe in October 2024 — also accused Temu of underestimating how often European consumers were exposed to dangerous or illegal products.
A Commission “mystery shopping” exercise, carried out by an independent testing organisation, reportedly found that a high percentage of chargers sold on the platform failed basic EU safety tests. Several baby toys tested were also deemed hazardous, containing chemicals above legal limits or posing choking risks because of detachable parts.
Regulators further criticised Temu for failing to properly assess how the platform’s own design contributed to the spread of illegal goods.
“Risk assessments are not box-ticking exercises, they are the backbone of the DSA,” said Henna Virkkunen, the European Commission’s executive vice-president for tech sovereignty, security and democracy.
“Temu’s risk assessment underestimates concrete risks, lacks specificity, is not grounded in solid evidence, and is not comprehensive,” she added.
“It leaves regulators, users, and the public in the dark about the true scale of potential harm posed by illegal products sold on Temu. Now it is time for Temu to comply with the law.”
The move marks another escalation in Brussels’ crackdown on Chinese e-commerce giants operating in the EU market. Under the DSA, the Commission can impose fines of up to 6 per cent of a company’s total worldwide annual turnover.
Temu has until August 28, 2026, to submit an action plan to the Commission, as required by Article 75 of the DSA.
The European Board for Digital Services will then have one month to review the plan, after which the Commission will have a further month to adopt a final decision and set a timeline for implementation.
“Failure to comply with the non-compliance decision may lead to periodic penalty payments,” the Commission warned.
risk assessment failed to meet the standards required under the EU bloc’s digital rulebook.
According to the Commission, the company relied on vague and generic assessments of risks across the wider e-commerce sector instead of examining evidence linked specifically to its own platform.
EU investigators also accused Temu of underestimating how often European consumers were exposed to dangerous or illegal products.
A Commission “mystery shopping” exercise reportedly found that a high percentage of chargers sold on the platform failed basic EU safety tests. Several baby toys tested were also deemed hazardous, containing chemicals above legal limits or posing choking risks because of detachable parts.
Regulators further criticised Temu for failing to properly assess how the platform’s own design contribute to the spread of illegal goods.
“Risk assessments are not box-ticking exercises, they are the backbone of the DSA,” said Henna Virkkunen, the EU tech chief.
“Temu’s risk assessment underestimates concrete risks, lacks specificity, is not grounded in solid evidence, and is not comprehensive,” she added.
“It leaves regulators, users, and the public in the dark about the true scale of potential harm posed by illegal products sold on Temu. Now it is time for Temu to comply with the law.”
The move marks another escalation in Brussels’ crackdown on Chinese e-commerce giants operating in the EU market.
Last year, another Chinese retailer Shein also came under investigation and widespread criticism over reports that child-like sex dolls were being sold to European customers through its platform.
Temu has until 28 August 2026 to submit an action plan to the Commission, as required by Article 75 of the DSA.
“Failure to comply with the non-compliance decision may lead to periodic penalty payments”, the Commission warned.
