Online platforms with over 45 million users in the EU must carry out detailed external audits and risk assessments about their platforms and measures they take to limit the spread of illegal content like dangerous toys or fake luxury bags. Fines can go up to 6 percent of their global turnover.
The European Commission has to formally designate such very large online platforms, giving the companies four months to prepare for the strict rules. The European Commission did not immediately reply to a request for comment about whether it will designate Temu.
Temu said in a statement to POLITICO that it would “cooperate fully” with the designation.
“We are aware of Temu’s recent statement of having more than 45 million monthly active users in the EU,” said Johannes Bahrke, a Commission spokesperson. “We are in contact with the platform in view of a possible designation in the future.
The EU institution is currently preparing to designate Chinese fashion platform Shein, with over 108 million European users.
This article has been updated.