The European Commission has searched the European office of the Chinese online retailer Temu in Dublin. It was an announced but spontaneous inspection. This is reported by the British business newspaper Financial Times. The reason for the investigation is the suspicion of state aid from Beijing. The e-commerce provider should receive subsidies. This means he can offer products even cheaper than before. This would be unfair to other online shops. The regulation to protect against this was introduced in 2023. It gives the EU the right to carry out such searches.
There are other ways in which Temu attempts to distort competition. This calls the EU into action. For example, the web shop entices customers to make a purchase with games. These bring discounts and other price incentives. The EU executive also accused Temu of not doing enough to combat illegal products on the platform. Investigations into this are also underway.
Temu has yet to comment on the search.
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