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Temu and Shein have ten days left to provide detailed information on various aspects of their services to European shoppers. The European Commission has requested this after complaints from several consumer organizations.
As VLOPs (Very Large Online Platforms), Temu and Shein must comply with strict rules in the Digital Services Act, which requires significant efforts to tackle illegal and harmful content on their platforms. The Chinese platforms were added to the VLOP list this spring, a qualification Amazon and Zalando have unsuccessfully contested.
Measures
EU tech regulators want to know what the Chinese platforms have done to facilitate user reports of illegal products. They also have questions about measures regarding interfaces to avoid so-called dark patterns, about the protection of minors, the transparency of recommender systems, the traceability of traders, and compliance by design.
EU tech regulators have inquiries across numerous areas.
Both Temu and Shein must provide the requested information by July 12. Based on the assessment of the replies, the European Commission will determine the next steps. If the information is incorrect, incomplete, or misleading, they could face fines and ultimately more severe penalties, the Commission outlines.
Skepticism
Temu and Shein are examples of Chinese marketplaces that are rapidly growing in Europe. At least 32 percent of Germans have already bought something on Temu, and 22 percent on Shein. Consumer and interest organizations on the continent repeatedly oppose the platforms, arguing that they do not comply with European regulations.
Urgent call
In an open letter, Ecommerce Europe and many of its national association members called for a level playing field for all ecommerce players active in the European market two weeks ago. They explicitly advocate for better enforcement of existing regulations.
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