Brussels has placed Temu under the spotlight, accusing the fast-growing e-commerce platform of breaching EU rules on illegal product listings, a charge the company has pledged to address in full cooperation with the European Commission. 

The Commission said that Temu had failed to properly assess and mitigate the risks related to illegal goods being offered on its marketplace, adding that data pointed to a high risk for EU consumers encountering such products. 

According to the company’s statement today, “we will continue to cooperate fully with the Commission.” 

Last year, as mentioned in the Cyprus Mail, the island’s Consumer Protection Service published a list of recalled toys sold on Temu, citing serious safety concerns.

The announcement, stated that the recall notice is available on the service’s website, as part of Cyprus’ coordination with the EU’s RAPEX system (Rapid Alert System for Non-Food Products posing a serious risk). 

“As the competent authority in Cyprus for the operation and management of the Rapid Alert System for Non-Food Products posing a serious risk (RAPEX), and with the aim of promoting child safety, the agency informs consumers that a list of recalled toys sold on Temu has been published,” the service said, according to Cyprus Mail.  

However, it also acknowledged that Temu does not have access to a contact list of all consumers who purchased the affected products, making direct notification impossible. 

Consumers in Cyprus are instead encouraged to check the ‘product safety alerts’ section on Temu’s website for further details, and to immediately stop using any of the toys listed.  

The service included a link outlining Temu’s policy on recalled products, urging buyers to refer to it for next steps. 

According to the European Commission’s official statement published on July 26, the company had “likely failed to comply” with its DSA obligations to identify and manage the risk of illegal and dangerous products. Officials found that Temu’s October 2024 risk assessment was overly generalised and not tailored to its specific platform.  

Moreover, internal audits and mystery shopping revealed frequent listings of illegal or unsafe items, including counterfeit electronics and unregulated toys, as noted in The Financial Times and Reuters. 

The Commission warned that these failings could lead to a fine of up to 6 per cent of Temu’s global annual revenue, unless corrective actions are taken.  

According to The Verge and Euronews, regulators have also opened a broader investigation into the platform’s algorithm transparency, potentially addictive design features, and data-sharing practices with independent researchers. 

Although no formal penalties have yet been issued, Temu has a limited window to respond to the preliminary findings.  

The broader implications are being watched closely in Cyprus and across the EU, where similar platforms like Shein has also come under review. 

In a related development as mentioned earlier in Cyprus Mail, the Cyprus Consumers Association announced on May 30 that it had joined 23 other consumer organisations from 21 countries in filing an official complaint to the European Commission against another Chinese e-commerce giant, Shein.  

The complaint, based on a joint study, claims that Shein uses “dark patterns”, such as fake countdowns, emotionally manipulative games, and infinite scrolling, to pressure users into buying more, in breach of the European Directive on Unfair Commercial Practices. 

According to the association’s statement, which was also submitted to the Consumer Protection Cooperation (CPC) Network, Shein was already under investigation by the Commission and CPC since February 2025, and was asked in May to align its practices with EU law.  

The Cyprus Consumers Association further cited findings from Poland, Belgium, and Denmark, revealing that several Shein products, including clothing, footwear and children’s items, contained unsafe levels of heavy metals, hazardous chemicals, and PFAS substances.  

Denmark has already moved to ban PFAS in textiles starting 2026 due to associated health risks. 

The association, a member of BEUC, reaffirmed its commitment to continuously monitor the market in coordination with EU partners to safeguard consumer rights both in Cyprus and across the EU.