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Business·3d ago

EU fines Temu €200 million for selling dangerous toys and chargers, demands safety overhaul by August

The European Commission has fined Chinese shopping platform Temu €200 million for failing to properly assess and mitigate risks from illegal and unsafe products sold to EU consumers, including toys with choking hazards and uncertified chargers.

The European Commission imposed a €200 million fine on Chinese e-commerce platform Temu on Thursday for serious violations of the Digital Services Act (DSA). The penalty follows a formal investigation launched in October 2024 that uncovered widespread availability of illegal and dangerous products on the platform, which has amassed over 130 million customers across Europe since entering the market in 2023.

What the investigation found

Commission investigators used mystery shopping, consumer complaints, and data from customs and market surveillance authorities to build their case. A very high percentage of selected chargers failed basic safety tests, while a high proportion of tested infant toys posed medium or high safety risks. These toys contained chemical substances exceeding EU safety limits or had detachable parts creating a choking hazard.

The risk assessment carried out by Temu underestimates specific risks, lacks detail, is not based on solid evidence, and is not comprehensive.

The Commission also found that Temu's 2024 risk assessment report was too generic, relying on broad e-commerce sector information rather than concrete evidence about its own platform. The company significantly underestimated how often EU consumers encounter illegal products.

Algorithmic amplification and influencer promotion

Beyond the products themselves, Brussels faulted Temu for failing to analyze how its own recommendation systems and influencer promotion programs could increase the spread of illegal goods. Under the DSA, very large online platforms (VLOPs) like Temu are required to diligently assess and mitigate such systemic risks.

What Temu must do now

Temu has until 28 August 2026 to submit a detailed action plan to the Commission outlining how it will remedy the identified failings. The European Board for Digital Services will then have one month to issue its opinion, after which the Commission will adopt a final decision and set a reasonable implementation deadline.

Temu EU investigation and penalty timeline
  1. Temu enters the European market, rapidly gaining over 130 million customers.
  2. Temu submits a risk assessment report; the Commission later deems it too generic and not based on concrete evidence.
  3. The European Commission opens formal proceedings against Temu under the Digital Services Act.
  4. The Commission imposes a €200 million fine and orders Temu to submit a corrective action plan.
  5. Deadline for Temu to present its detailed action plan to the Commission.

Broader context and industry reaction

European consumer organizations have repeatedly warned about dangerous products flooding online marketplaces, especially those based in China. A 2025 investigation by Toy Industries of Europe found that 86% of toys sold on non-European online commerce sites did not comply with current safety standards. The fine was calculated taking into account the nature, gravity, and duration of the infringement, and the Commission rejected claims that the penalty was excessive. If Temu fails to comply with the decision, it faces further periodic penalty payments.

Brussels

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