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Temu has been fined €200 million (about $232 million) by the European Commission after it found that consumers are “very likely to encounter illegal items” on the popular Chinese e-commerce platform. According to the commission, Temu breached Digital Service Act (DSA) rules by failing to identify and assess the systemic risks of illegal products being offered on its platform and the resulting harmful impact on its customers.
The EU launched its formal DSA investigation against Temu in October 2024, and issued a preliminary ruling in July 2025 that found Temu isn’t doing enough to keep illegal products off its ultra-cheap marketplace. As part of that investigation, the Commission said that a “very high percentage” of electronic device chargers purchased by mystery shoppers failed basic safety tests, and found that a high percentage of tested baby toys posed safety risks, reporting that they exceeded the legal limits for certain chemicals or posed suffocation hazards.
Temu now has until August 26th to submit an action plan to the Commission to remedy the DSA breach. If Temu fails to comply, it may face additional periodic penalty payments. Shein, a similar Chinese retailer that rivals Temu, is facing a similar DSA investigation over illegal products after French regulators found listings for “child-like sex dolls” on the platform last year.