The EU wants to make Temu and Shein accountable for selling unsafe or illegal products

February 4, 2025 by
Frank Calviño

The European Union plans to implement regulations that will make e-commerce platforms such as Temu, Shein, and Amazon Marketplace accountable for selling unsafe or illegal products, as reported by the Financial Times this Saturday.

A draft proposal, cited by the newspaper, states that customs reforms require these platforms to provide information on products before arriving in the EU. The aim is to improve the authorities' control and optimize the inspection of shipments.

Currently, online shoppers in the EU are considered importers for customs purposes. However, with the reform, the platforms will assume responsibility for ensuring that products comply with European regulations, managing the payment of taxes, and ensuring compliance with legal requirements.

Likewise, customs data from the 27 member countries will be centralized, and the EU Central Customs Authority (EUCA) will be created. This entity will be able to analyze information before the goods are shipped, allowing the detection of possible risks before their physical arrival in European territory.

Temu and Shein legal issues in the EU 

Temu and Shein have faced increasing legal scrutiny in the EU over consumer protection, labor practices, and competition law issues. Regulators have raised concerns about the companies' compliance with the Digital Services Act (DSA) and other regulations to ensure transparency in online marketplaces. 

Additionally, both platforms have been criticized for alleged exploitative labor conditions in their supply chains, prompting investigations into their ethical sourcing practices. The EU has also examined their pricing strategies and potential tax avoidance, with some policymakers calling for stricter oversight of fast-fashion and ultra-low-cost e-commerce models.

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