By September 2024, Temu will need to adhere to the DSA’s most stringent regulations. These include identifying and mitigating “systemic risks” such as the sale of counterfeit goods, unsafe products, and intellectual property violations.
EU’s big suggestions to Temu
The EU suggests Temu improve its user interface to facilitate user reporting of suspicious listings. Additionally, Temu should strengthen its moderation procedures for faster removal of illegal items and refine its algorithms to prevent the promotion and sale of prohibited products.
Temu acknowledged the EU’s decision and expressed commitment to following the DSA’s regulations. Their focus, according to a company statement, is on ensuring user safety, transparency, and protection within the EU.
Temu, a recent entrant in Western markets, has gained popularity for offering affordable goods shipped from China. The company joins established tech giants like Facebook, TikTok, YouTube, and Amazon on the EU’s list requiring the highest level of supervision. While not subject to the same intense scrutiny, all online services operating in the EU must still comply with the DSA’s general requirements. Violations can result in substantial fines of up to 6% of a company’s global annual revenue.
