EU accepts Temu action plan after €200 million fine over illegal goods

EU accepts Temu action plan after €200 million fine over illegal goods

The European Commission has accepted Temu’s action plan to address shortcomings in how the online marketplace assesses the risk of illegal products. The decision marks a compliance step under the EU’s Digital Services Act, but does not mean the platform is now free of illegal listings.

Under the plan, Temu must carry out a risk analysis specific to its service and use measurable indicators to assess whether its safeguards are effective. It must also examine the limits of its content moderation, investigate whether recommendation algorithms can amplify illegal listings, and analyse how sellers might deliberately manipulate platform features to promote prohibited goods.

The company has four months to implement the measures and provide an interim risk assessment. The plan will also be subject to an independent audit, while the Commission will monitor implementation.

The action follows a €200 million fine imposed in May 2026, when the Commission found that Temu had not adequately assessed systemic risks linked to illegal products offered through its marketplace. The regulator’s acceptance of the action plan does not certify the safety or legality of products sold on the platform.

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