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Temu’s low-cost marketplace faces formal probe in EU over raft of DSA compliance concerns


The European Union has expanded its scrutiny of online marketplaces by opening a formal proceeding on Chinese low cost ecommerce platform, Temu, under the

The European Union has expanded its scrutiny of online marketplaces by opening a formal proceeding on Chinese low cost ecommerce platform, Temu, under the Digital Services Act (DSA), the Commission announced Thursday. In a briefing with journalists ahead of the formal proceeding being made public, Commission officials said the swiftly opened investigation on Temu reflects both how rapidly the marketplace has grown in the region (only launching last year) and how many concerns have been shared with it about aspects of the platform by others, including consumer protection agencies and Member State-level Digital Services Coordinators (DSCs), which enforce the DSA’s general rules. While, back in May, consumer protections from around the EU grabbed headlines after lodging a series of coordinated complaints against Temu — accusing the company of breaching the DSA’s general rules.

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Amazon is reportedly working on a low-cost storefront to rival Temu