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EU crackdown for Temu, Shein worsens

  • The European Union is implementing new regulations that will see ecommerce platforms like Temu, Shein and Amazon liable for selling illegal or dangerous products.
  • It will also give customs agents more power to inspect products, even before they arrive in European countries.
  • A central EU customs authority will be set up as part of the regulations.

There is a crackdown on ecommerce platforms looming in Europe as online platforms will have to provide additional information to customers and more data to European authorities before packages arrive in the union.

This as the EU works to implement new regulations on companies like Temu, Shein, and Amazon in order to make them liable for any dangerous or illegal products they may be selling to Europeans online. The new regulations would allow customs officials better control and the ability to inspect packages before being allowed past ports in the country.

A new central EU customs authority will also be set up as part of the regulations, which will be using data from 27 national customs agencies across the union to ensure nothing slips through the cracks.

“The EUCA would be able to screen the goods based on this information and to identify potential risks, even prior to the loading of the goods for transport or their physical arrival in the EU,” the Financial Times, which first reported on the story.

European authorities have been going after fast fashion and super-affordable online storefronts since last year. Temu was initially served a complaint by the EU in May 2024 where it said that “Temu does not guarantee its users a safe, predictable, and trustworthy online environment as the law requires.”

Allegedly Temu breached a number of EU regulations in terms of ecommerce, including:

  • Failure to show who and what kind of traders are selling on the platform, and therefore if the products sold adhere to EU law,
  • Using manipulative practices, like dark patterns, to get customers to spend more than they might want to,
  • and failing to provide transparency in how it recommends products to customers.

In response, Temu told Hypertext that “In the past week, Temu entered a cease-and-desist declaration with Germany’s VZBV, committing to addressing concerns raised about our practices, many of which are covered by the BEUC’s complaint. Additionally, on Monday, Temu signed a product safety pledge with South Korea’s Fair Trade Commission, committing to a comprehensive system to detect, prevent, and remove unsafe products from circulation.”

The company also waded into hot water in the US before the end of 2024 where the US Consumer Products Safety Commission alleged that Temu was selling “deadly baby and toddler products.” Temu again denied the claims.

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