Temu Faces German and EU Scrutiny Over Unfair Practices and Safety Concerns
April 9, 2025
This complaint is part of a broader criticism from the online sector in Germany and the EU, which accuses Chinese retailers like Temu, Shein, and Aliexpress of creating unfair competition by not adhering to European standards.
Additionally, Temu retains the right to determine the final selling prices, further consolidating its control over pricing.
HDE has long criticized online shopping platforms like Temu and Shein for ongoing issues such as misleading discount promotions, fake reviews, and insufficient consumer rights information.
The HDE has also highlighted product safety compliance issues, stating that many items sold on Temu do not meet German safety regulations, based on test purchases.
Both the German government and the EU have indicated plans to enhance oversight of these online platforms due to concerns over fake discounts and fraudulent reviews.
Test purchases revealed that numerous products on Temu fail to meet necessary safety regulations, prompting HDE to emphasize the need for compliance with local laws.
Furthermore, HDE claims that Temu frequently fails to provide the mandatory 30-day best price disclosure, misleading customers with seemingly low prices.
Temu has faced criticism for selling counterfeit products and items contaminated with harmful substances, raising further concerns about product quality.
The platform is also accused of using false countdowns in discount promotions to pressure customers into making immediate purchases.
HDE President Alexander von Preen emphasized that sellers in Germany must adhere to local laws and regulations regarding product safety.
The HDE has raised concerns that Temu restricts its sellers' pricing power by enforcing a rule that limits prices to 85% of what sellers charge for similar products on other platforms.
In the U.S., Temu is facing challenges due to tariffs of up to 104% on Chinese imports and the repeal of the De Minimis rule, which previously allowed tax-free imports for goods valued under $800.
Summary based on 5 sources