The European Commission accepted Temu’s plan to improve its assessment of illegal-product risks on Monday, October 26, moving the online marketplace into a monitored compliance process after a €200 million fine earlier this year.
The decision concerns Temu’s obligations under the Digital Services Act, the European Union’s rules for online platforms. It requires the company to examine risks specific to its own marketplace, including the way sellers, moderation tools and recommendation systems can allow illegal listings to spread.
In its October 26 announcement, the Commission set out five measures. These include a platform-specific analysis, reliable measurements of whether safeguards work, an assessment of moderation weaknesses and scrutiny of recommendation systems. Temu must also examine deliberate manipulation of its service by sellers and the potential for illegal content to circulate rapidly at scale.
What the Temu EU plan requires
Temu has four months to carry out an interim risk assessment covering the six-month period ending November 30, 2026, the Commission said. The assessment is part of the response to the noncompliance finding that led to the fine in May.
The company welcomed approval of the plan, a Temu spokesperson told Reuters. Temu is owned by PDD Holdings.
Approval comes with further scrutiny. ANSA reported that the European Board for Digital Services considered the plan insufficiently detailed to establish whether it fully addressed the breach. The Commission took those concerns into account and clarified requirements for implementation.
An external, independent audit will examine the measures. Temu must submit the relevant audit report within four months of implementing them. The Commission will monitor the work, including the areas where the board requested greater clarity.
A marketplace with a large Greek customer base
The decision has particular relevance in Greece, where Chinese shopping platforms have attracted widespread use. The European Central Bank survey findings show nearly eight in ten Greek respondents had bought from Chinese platforms during the preceding year, with low prices an important attraction.
The consumer demand makes the quality of sellers’ checks and platform safeguards consequential for a large domestic audience. The Commission’s next assessment will focus on whether Temu implements the promised measures and produces evidence that its risk analysis has improved.
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