Temu faces potential legal action from consumer advice center

Temu under Scrutiny: German Consumers Fight for Fair Practices on Chinese Marketplace

In Berlin, the Federal Association of Consumer Organizations (vzbv) has announced that it is considering legal action against Chinese online marketplace Temu for multiple violations. The platform has been accused of unsettling and taking advantage of consumers with arbitrary discounts, questionable reviews, and manipulative designs. vzbv boss Ramona Pop stated that these practices must be stopped to protect consumers.

Temu, which is owned by Whaleco Technology Limited, has responded to the warning but has not made a cease and desist declaration. The consumer advice center is currently in the process of deciding on a lawsuit against Temu. The platform claims to be committed to ensuring fair practices and is open to working with consumer groups to improve transparency and cater to local preferences.

Recent discount offers of up to 90% by Temu have caused a stir in the market, making it the most downloaded shopping app in Germany according to Similarweb. Trade experts and associations have called for stricter actions against Chinese low-cost marketplaces like Temu, especially regarding the safety of products sold on the platform.

In light of these developments, the consumer advice center is closely monitoring Temu’s practices and considering legal action to protect consumers’ rights. The platform’s response to the allegations and willingness to work with consumer groups will play a crucial role in determining the next steps in this ongoing investigation.

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