Particle.news
Download on the App Store

EU Fines Temu €200 Million for Failing to Stop Illegal and Unsafe Products

The fine applies Digital Services Act risk‑assessment rules, forcing Temu to deliver a corrective action plan by 28 August for regulators to judge compliance.

Overview

  • The European Commission announced the €200 million penalty on Thursday, May 28, 2026, after a nearly two‑year DSA probe found Temu’s 2024 risk assessment fell short of legal requirements.
  • A mystery‑shopping exercise and product tests showed a very high share of chargers failed basic electrical safety checks and many baby toys contained chemicals above legal limits or had small detachable parts that posed suffocation risks.
  • Temu has until 28 August to submit a detailed action plan that regulators and the European Board for Digital Services will review, and authorities can impose periodic penalties or higher fines if the plan is judged insufficient.
  • Temu said it disagrees with the Commission’s decision, called the fine disproportionate, argued the finding relates to its initial 2024 assessment, and said it has since strengthened systems while reserving the right to seek remedies.
  • The sanction is the second major penalty under the DSA and reinforces EU scrutiny of large cross‑border marketplaces as regulators continue probes into Temu’s recommender systems, promotional mechanics and researcher data access which could prompt further enforcement and industry changes.