Monday, October 26, 2026

Temu pledges changes after €200 million EU fine

26.10.2026, DPA

Photo: Hannes P Albert/dpa

Chinese online retail giant Temu has pledged to improve consumer protection and submitted proposed changes to the European Commission after a €200 million ($221 million) fine, the commission said on Monday.

The platform said it will check whether its recommendation algorithms help spread illegal products, the Brussels-based authority said. The commission initially accepted the proposals. Temu now has four months to implement them.

What the Brussels internet watchdog accused Temu of

The European Commission imposed the €200 million fine on Temu in May. The authority accused the company of not sufficiently protecting consumers from illegal products and of underestimating the risks on its platform. It said this was a serious breach of the EU's Digital Services Act (DSA).

According to the commission, many items failed in test purchases in 2025. Chargers had failed basic safety tests. A "high percentage" of the baby toys tested had exceeded chemical limits, or there had been a risk of choking due to detachable parts, the watchdog said.

How Temu wants to avoid daily penalty payments

According to the commission, Temu has agreed to base its risk assessment on its marketplace on up-to-date and reliable data and to tailor it precisely to its own service. The company must also review its own recommendation algorithm in this context.

The company is to prove with robust key figures whether its protective measures actually reduce the spread of illegal products. 

Temu must also disclose where automatic and manual checks of merchants' offers on the online marketplace reach their limits. 

Finally, the group must examine how merchants deliberately exploit the platform's functions to spread illegal offers.

If the European Commission decides that Temu is not doing enough to comply with EU rules, it could also impose daily penalty payments on the Chinese company, in addition to the fine from May. 

The case against Temu has been running for nearly two years.

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