Overview
- The European Commission on July 31 issued a preliminary finding that Temu failed to cooperate during surprise inspections at a Dublin premises of its subsidiary WhaleCo carried out in December 2025.
- The Commission says Temu withheld information on the organisation and management of its EU activities, the IT tools and systems used in Europe, and specific books and records needed for the probe.
- Temu rejects the charge and says it cooperated fully during the inspections and denies receiving distorting foreign subsidies in support of its EU operations.
- If the investigation finds a final infringement for non-cooperation, the company could face administrative fines under the Foreign Subsidies Regulation of up to around 1% of annual turnover and further remedies.
- The action builds on wider EU steps to curb unfair competition from foreign-subsidised e-commerce, following measures such as parcel fees and a separate May fine of about €200 million for illegal products on Temu’s platform.