The European Union has imposed a record €200 million fine on Chinese e-commerce giant Temu for failing to prevent the sale of illegal and unsafe products while violating Digital Services Act (DSA) obligations. Announced on May 28, 2026, this marks the platform's first major penalty as a 'Very Large Online Platform' with over 45 million EU users. The enforcement action coincides with upcoming EU tariff reforms targeting low-value parcels from China. The Independent+2
Temu was found to have breached multiple DSA provisions, particularly regarding risk assessment of illegal products like toxic toys and faulty electronics. The platform's algorithmic recommendations allegedly amplified exposure to these hazardous items. EU officials confirmed Temu failed to implement required compliance measures despite its VLOP status. The Independent+2
The fine reflects the EU's heightened focus on protecting consumers from substandard imports. Specific violations included:
The penalty signals broader EU regulatory changes: