Consumer advice center is considering legal action against Temu

Consumer advice center is considering legal action against Temu

The consumer advice center is considering taking legal action against the Chinese online marketplace Temu. According to the Federal Association of Consumer Organizations (vzbv) in Berlin, several violations have been warned because Temu unsettles and takes advantage of consumers with seemingly arbitrary discounts, questionable reviews and manipulative designs. According to vzbv boss Ramona Pop, these business practices must stop in order to protect consumers.

Whaleco Technology Limited, the company behind the Temu platform, responded to the warning but did not issue a cease and desist declaration. Temu has not yet responded to a written query about the allegations. The vzbv is now considering bringing a lawsuit against Temu because the platform leaves consumers in the dark about how the high discounts come about and also advertises with questionable environmental promises.

Consumer advocates also criticize that Temu puts consumers under pressure during the ordering process by displaying messages such as "Hurry up! Over 126 people have this item in their shopping cart." This is considered manipulative design, which was banned by the EU with the Digital Services Act. In addition, according to the consumer advice center, Temu provides inadequate information about the authenticity of product reviews and the identity of the product providers.

Experts and associations had already called for stricter action against Chinese low-cost marketplaces like Temu. European toy manufacturers have also criticized the safety of products on Temu and called for stricter controls. The consumer advice center continues to consider legal action against Temu to protect consumers from misleading business practices.