EU Fines Temu €200 Million Over Illegal Product Sales
The European Commission has fined Temu €200 million (approximately $232 million) for violations of the Digital Service Act (DSA), after an investigation found that consumers using the platform were "very likely to encounter illegal items."
The investigation, launched in October 2024, determined that Temu failed to identify and assess the systemic risks posed by illegal products being offered on its marketplace, as well as the resulting harmful impact on its customers. A preliminary ruling issued in July 2025 found that the company wasn't doing enough to keep illegal products off its ultra-cheap marketplace.
Under the DSA, which came into full effect for large platforms in early 2024, online marketplaces are required to implement systems to detect and remove illegal goods. Temu's fine is among the first significant enforcement actions under the new legislation targeting cross-border e-commerce platforms.