Consumer protection: Lawsuit planned against Chinese online marketplace Temu

Consumer protection: Lawsuit planned against Chinese online marketplace Temu

The consumer advice center is examining legal action against the Chinese online marketplace Temu. The Federal Association of Consumer Organizations (vzbv) in Berlin has warned the company because it is unsettling and taking advantage of consumers with questionable sales practices. The platform uses seemingly arbitrary discounts, manipulative designs, and questionable reviews, which is unacceptable. vzbv boss Ramona Pop emphasizes the need to protect consumers from these business practices.

Whaleco Technology Limited, which Temu is behind, responded to the warning but did not issue a cease and desist declaration. The consumer advice center is therefore considering legal action, which requires an internal coordination process. Despite the criticism, Temu defends its business model and emphasizes that it acts fairly. The company is open to working with consumer groups to improve transparency.

The vzbv accuses Temu of leaving consumers in the dark about how high discounts come about and of suggesting a reduced CO2 footprint. The platform puts consumers under pressure through manipulative messages during the ordering process. In addition, according to consumer advice centers, Temu provides inadequate information about product reviews and the identity of product providers.

Temu rejects the allegations and emphasizes that inventory and purchase updates are realistic to enable informed decisions. The company values ​​the authenticity of reviews and insists on not removing or suppressing negative reviews as they can contribute to merchant quality verification. Nevertheless, Temu recently caused a stir with discount offers of up to 90 percent and was frequently downloaded in Germany. European associations are calling for tougher action against cheap Chinese marketplaces like Temu after some shortcomings in product safety and control emerged.