EU warns China-based Temu over consumer law violations

The European Commission has notified China-based online marketplace Temu of alleged practices that infringe EU consumer laws.

The Consumer Protection Cooperation (CPC) Network directed Temu to align its practices with EU consumer regulations, the European Commission announced on Friday.

"The CPC Network's coordinated investigation covers a broad range of practices with which consumers are confronted while shopping on Temu, including such that may mislead consumers or unduly influence their purchasing decisions," said the commission.

"The CPC Network is also investigating whether Temu complies with specific information obligations for online marketplaces under consumer law," it added.

Last week, the commission has opened formal proceedings against the marketplace under the Digital Services Act.

The CPC Network identified some problematic practices on the market place which are fake discounts, pressure selling, forced gamification, missing and misleading information, fake reviews, and hidden contact details.

"Temu now has one month to reply to the CPC Network's findings and propose commitments on how they will address the identified consumer law issues," the commission added.