Brussels seeks additional details from Temu regarding consumer safeguards.
The European Commission is pushing for more details from online marketplace Temu regarding its strategies to combat unlawful merchandise. Last Friday, the Brussels office sent out an inquiry, in light of the EU's Digital Services Act, they announced. The Chinese corporation is allegedly required to share in-depth details on the steps it takes to avoid recurring instances of vendors peddling unlawful items on its platform, and the methods it employs to safeguard consumers. The Commission will analyze these responses to decide on their subsequent course of action. If a company supplies misleading, inadequate, or distorted information, or fails to answer queries, the agency can enforce penalties.
Temu has until October 21st to deliver the requested details. If a company provides misleading, inadequate, or distorted information, or fails to answer queries, the agency can enforce penalties.
German Economics Minister Robert Habeck commended the Commission for integrating recommendations from the German government's E-Commerce Action Plan directly into their action. The Green politician further noted, "This is a significant victory and an essential stride towards ethical competition in the digital retail sector, safeguarding consumers from unlawful third-party products invading the German market."
In a statement, Temu declared its intention to collaborate fully with the European Commission. Since being recognized as a major online platform by the Commission in May, it has already implemented substantial adjustments.
The Digital Services Act (DSA) aims to expedite the removal of illicit content from websites. It also simplifies the process for users to report such content. Generally, large platforms must adhear to stricter regulation than smaller ones.
Temu has chosen to resign from its previous stance, as stated in their statement, to fully cooperate with the European Commission's inquiry. If Temu continues to fail to provide accurate information or answer queries, as outlined in the Digital Services Act, the agency may impose penalties.