On Monday the European Union accused the online shopping giant founded in Chinese Temu of breaking the digital rules of the block not “adequately” by evaluating the risks of illegal products.EU regulators believe that Temu is not doing enough to protect European consumers from dangerous products and that it may not act enough to mitigate the risks for users.
“The tests have shown that there is a high risk for consumers in the EU to meet illegal products on the platform,” said the European Commission in its preliminary discovery.
He indicated a mysterious shopping exercise that discovered that consumers were “very likely to find products that do not comply with the offer, as toys for children and small electronics”.
Temu only said that “he would continue to cooperate fully with the commission”.It is wildly popular in the European Union despite having entered the continent market in 2023, Temu has 93.7 million average monthly active users in the block of 27 countries.
The EU stated that the assessment of the risk of Temu 2024 is “inaccurate and based on the general information in the sector rather than on specific details on its market”.
Temu is under investigation as part of a Mammut Law known as Digital Services Act (DSA) that forces the largest technological companies in the world to do more to protect European consumers online and better police content online.
Temu will now be able to respond to the results of EU regulators and defend themselves, but there is no time limit for how long it can last an investigation.
If confirmed to be in violation, the EU can slap a fine on Temu.
The fines based on the DSA can go up to six percent of the annual turnover all over the world of a company and force it to make changes to face violations.
Launched in October, the EU probe continues to investigate other suspicious violations, including the use of design characteristics that could damage the physical and mental well -being of users and how the Temu systems recommend content and products.
– EU law under attack –
DSA is part of the EU reinforced legal weapons to curb the excesses of great technology, with more severe rules for the largest world platforms.
He had to face criticism from the American administration under President Donald Trump.
The judicial committee dominated by the republicans of the Chamber of Representatives of the United States described DSA in a frightening relationship as a “threat of foreign censorship” on Friday.
The president of the madman Donald Trump Ally Jim Jordan, president of the Committee, met the head of the sovereignty of EU Virkkunen technology in Brussels as part of a bipartisan delegation on Monday.
“We had a constructive discussion on how to promote digital innovation, AI and adjust this field intelligently,” he said in X after the meeting.
There are currently other DSA probes in the Chinese online retailer Aliexpress, in the social media and Instagram and X social media platforms, as well as Tiktok.
The EU also wants to repress economic packages that flooded in the block every year, with a proposal under discussion for a flat tax for two euros per pack.
Last year, 4.6 billion packages of this type entered the EU – more than 145 per second – with 91 percent originated in China. The EU expects the numbers to increase.
The Indian government is proposing that e-commerce platforms include a “country of origin” filter to improve the decision-making process of consumers, especially before the festive season. A virtual consultation was held with e-commerce players to explore the modification of the rules of legal metrology. While companies are generally agreed, some have raised concerns about the technical challenges and the constraints of mobile apps, but experts believe that the change is manageable.
