Temu promises to do better after receiving a 200 million EU fine

Temu has submitted an action plan to the European Commission to comply with digital regulations, after the company was hit with a hefty fine in May. The proposals have been provisionally approved, and the platform has four months to implement them.

Compliance with the Digital Services Act

In May of this year, Temu was hit with a hefty fine of 200 million euros because the online store was not doing enough to prevent the sale of illegal and harmful products in Europe. According to the European Commission’s report, consumers face a very high risk of encountering illegal products on the platform, and the company was unable to provide a satisfactory answer regarding the safety measures it takes to keep sellers of dangerous, unhealthy, and illegal products off the platform.

Temu has now submitted proposed changes to the European Commission to comply with the standards of the Digital Services Act (DSA), which requires large platforms to take measures to protect consumers. Among other things, the company will conduct risk assessments, review its recommendation algorithms, and investigate how sellers are exploiting Temu’s features to highlight potentially illegal products. The European Commission has provisionally approved these proposals. Temu has four months to implement the changes.