Temu Under Fire! 💥 EU Investigates 🇪🇺

World News

EU Scrutinizes Temu’s Operations in Dublin
Last week, the European Union’s regulatory body conducted an unannounced inspection of Temu’s European headquarters, situated in Dublin’s St Stephen’s Green – a location renowned for its proximity to luxury establishments like the Shelbourne hotel and Cantor Fitzgerald. This proactive action signals a serious escalation in the EU’s scrutiny of the Chinese online retailer’s activities.

Government Subsidies Under Investigation
The raid stems from an ongoing investigation into potential breaches of foreign subsidy regulations. Preliminary findings, revealed in July, suggested Temu was receiving government support, specifically assistance with shipping cars to Europe and securing land for factories. This echoes a similar situation last year involving tariffs of up to 38% on Chinese car manufacturers following a World Trade Organization investigation.

Digital Services Act Probe Continues
The investigation is also linked to a previous inquiry initiated last year under the Digital Services Act of 2022. This legislation governs online platforms and highlights the EU’s broader efforts to regulate e-commerce operations within the bloc.

Illicit Goods Concerns Raised
Furthermore, the inspection uncovered a critical weakness: Temu had not established adequate safeguards to prevent the sale of illicit goods on its platform. This revelation adds another layer of concern to the EU’s investigation into the retailer's operations.

Temu Remains Silent
Temu was approached for comment regarding the regulatory raid, but has yet to release an official statement.