WHAT HAPPENED
The regulatory acceptance follows a €200 million fine levied against the online platform in May for failing to prevent the listing of illegal and unsafe consumer products. Under the newly approved framework, Temu has committed to systematic risk analyses, enhanced screening of listed items, and structural revisions to its product recommendation algorithms across all European Union member states. The European Commission confirmed that the accepted action plan details specific remedies Temu will implement to address structural vulnerabilities identified during regulatory reviews. Under the terms of the agreement, the platform is required to continuously monitor and prevent the listing and sale of non-compliant goods, while scaling up enforcement measures should further compliance failures emerge. Additionally, the Chinese retail platform must conduct comprehensive reviews of its automated recommender systems to ensure that algorithmic features do not amplify or promote illegal goods to European shoppers.
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