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EC Accuses 'Temu' of Obstruction
๐Ÿ‡ฑ๐Ÿ‡น Lithuania /Economy & Trade

EC Accuses 'Temu' of Obstruction

From Delfi · () Lithuanian

Translated from Lithuanian, summarized and contextualized by DistantNews.

At a glance

News Sources not specified Under investigation
  • The European Commission (EC) conducted unannounced inspections in December 2025 to investigate if the e-commerce platform "Temu" received potentially distorting foreign subsidies.
  • The EC preliminarily found that Temu, through its parent company WhaleCo, did not cooperate sufficiently during the inspection, failing to provide information on its business organization, IT systems, and financial records in the EU.
  • Temu denies the EC's findings, stating it fully cooperated and operates with sustainable cash flows, while the EC maintains that the lack of information hindered its investigation into potential unfair competition.

The European Commission (EC) has accused the online marketplace "Temu" of failing to cooperate during an inspection conducted in December 2025. The EC initiated unannounced checks as part of an investigation into whether Temu, operated by its parent company WhaleCo, received foreign subsidies that could distort competition within the EU.

Temu did not fulfill the obligation to actively cooperate on several issues related to the inspection.

โ€” European CommissionThe EC's preliminary assessment of Temu's conduct during the inspection.

According to the EC's preliminary assessment, Temu did not actively cooperate on several key issues during the inspection at WhaleCo's premises in Dublin. Specifically, the Commission claims Temu failed to provide information regarding its operational and management structure within the EU, the IT tools and systems it employs, and crucial accounting documents and records related to its EU activities. The EC stated that this lack of information prevented it from examining potential sources relevant to its investigation.

Temu has fully cooperated and fulfilled all requests made by the Commission during the inspection.

โ€” TemuTemu's response to the European Commission's accusations.

Temu has rejected the EC's accusations, asserting that the company "fully cooperated and fulfilled all requests" made by the Commission during the inspection. The platform stated it would analyze the EC's findings. Furthermore, Temu categorically denied receiving any unfair foreign subsidies, emphasizing its commitment to fair competition principles and asserting that its operations generate sustainable cash flows sufficient to fund its activities in the European Union.

This failure to provide information prevented the Commission from examining information sources that could have been important for its investigation.

โ€” European CommissionThe EC's explanation of how Temu's lack of cooperation impacted their investigation.

The EC's allegations are specifically linked to the December 2025 inspections, and Temu now has the opportunity to respond to the doubts raised by Brussels. With approximately 130 million users in the 27-member bloc, representing nearly a third of the EU's population, Temu is one of Europe's largest online trading platforms, making the EC's investigation into its competitive practices a matter of significant interest.

Temu categorically denied receiving unfair foreign subsidies. The company is committed to adhering to fair competition principles.

โ€” TemuTemu's denial of receiving subsidies and commitment to fair competition.
DistantNews Editorial

Originally published by Delfi in Lithuanian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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