After EU fine of 200 million euros: what Temu plans to change

Online giant Temu pledges to improve consumer protection following an EU fine of 200 million euros (228.8 million dollars) and submits proposals for changes to the European Commission. Going forward, the shopping portal is to examine whether its recommendation algorithms help spread illegal products, as the Brussels authority announced. The Commission initially accepted the proposals. Temu now has four months to implement them.

A company spokesperson stated that it appreciates the constructive dialogue with the Commission. The plan is clear evidence of Temu's commitment to investing in a robust compliance infrastructure to ensure a safe and trustworthy shopping environment for all users in the EU.

What Brussels internet regulators accused Temu of

The EU Commission imposed a fine of 200 million euros on Temu in May. The authority accused the company of failing to adequately protect consumers from illegal products and of underestimating the risks on its platform. This constitutes a serious breach of the EU Digital Services Act (DSA).

Consequently, many items failed during test purchases in 2025. Chargers did not pass basic safety tests. According to the Brussels internet regulators, a “high percentage” of the tested baby toys exceeded chemical limits or posed a choking hazard due to detachable parts.

How Temu plans to avoid daily penalty payments

According to the EU Commission, Temu has now agreed to base the risk assessment on its marketplace on current and reliable data going forward, tailoring it precisely to its own service. The company must also review its own recommendation algorithm in this context.

Using reliable metrics, the company is required to demonstrate whether its protective measures actually reduce the spread of illegal products. Furthermore, Temu must disclose where automated and manual checks of merchant listings on the online marketplace reach their limits. Finally, the group must investigate how merchants deliberately exploit the platform's functions to distribute illegal offerings.

Should the European Commission decide that Temu is not doing enough to comply with EU rules, it could also order daily penalty payments for the Chinese company following the multi-million fine in May. The proceedings against Temu have been ongoing for almost two years.