The European Commission is set to initiate a formal investigation into the Chinese online shopping platform Temu to assess potential violations of rules prohibiting the sale of illegal products.

The probe will also examine whether Temu has breached the European Digital Services Act (DSA), as reported by Bloomberg. Temu representatives have yet to respond to these allegations.

Should the Commission commence an official investigation, Temu will have the opportunity to propose measures to mitigate the European Commission’s concerns, potentially avoiding severe penalties.

This development follows a request from the European Commission on October 11, urging Temu to provide details on the actions it is taking to combat the sale of counterfeit or unsafe products on its platform.

In this request, the Commission sought “detailed information and documents regarding Temu’s strategies to prevent merchants from selling and relisting illegal products.”

Sources indicate that the information provided by Temu thus far has not alleviated the European Commission’s concerns or addressed the broader worries within the European Union.