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EU Slaps Temu With $230 Million Fine Over Sale of Dangerous Products

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The European Union has fined Chinese online retail giant Temu $230 million for allegedly failing to properly identify and assess the risks linked to dangerous products sold on its platform, including unsafe electronics and children’s toys.

EU officials said Temu’s 2024 risk assessment failed to meet the requirements of the bloc’s Digital Services Act (DSA), accusing the company of relying on broad industry data instead of evidence specific to its own marketplace.

According to a statement from EU regulators, Temu’s internal review “seriously underestimated” the likelihood of European consumers encountering illegal or unsafe products on the platform.

Authorities revealed that a significant number of chargers tested failed basic safety standards, raising concerns over potential fire hazards. Some baby toys were also found to contain chemicals above legal safety limits or detachable parts that could pose choking risks.

“Temu’s risk assessment underestimates concrete risks, lacks specificity, is not grounded in solid evidence and is not comprehensive,” said Hanna Virkkunen, the EU’s head of tech security.

She added that the shortcomings leave regulators and consumers unaware of the true scale of harm posed by illegal products sold through the platform.

Temu, which launched in 2022, has rapidly grown into one of the world’s largest e-commerce platforms and reportedly boasts more than 130 million active users in the United States alone.

The company has until August 28 to submit an action plan to the European Commission outlining measures to address the violations. EU regulators will then decide within two months whether Temu has complied with the bloc’s digital safety regulations.

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