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European Union fines Temu €200 million for allowing sale of illegal products

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EU regulators fined Temu €200 million after discovering the sale of illegal and unsafe goods, including hazardous toys with loose parts and dangerous electronics. The penalty represents the highest ever imposed under the Digital Services Act, which has targeted major tech companies since February 2024.

    1. Temu is a very big player in the European market.
    2. It leaves regulators, users, and the public in the dark about the true scale of potential harm posed by illegal products sold on Temu. Now it is time for Temu to comply with the law.
    3. Temu's risk assessment underestimates concrete risks, lacks specificity, is not grounded in solid evidence, and is not comprehensive.
    1. The company failed to diligently identify, analyse, and assess the systemic risks of illegal products being offered on its platform and the resulting harm to consumers in the European Union.
    1. The decision relates to our first DSA assessment in 2024 and does not reflect the current state of our systems. Temu engaged constructively with the commission throughout the process and has since taken further steps to strengthen risk assessment, platform governance, and user protection.
European Union fines Temu €200 million for allowing sale of illegal products