Temu considers joining European anti-counterfeit group as EU probes sale of illegal products

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LONDON – Chinese online retailer Temu is considering joining a group of e-commerce platforms and brands that collaborate to prevent the sale of fake products online in Europe, according to a meeting agenda seen by Reuters.

The “memorandum of understanding (MOU) on the sale of counterfeit goods on the internet” is a voluntary agreement facilitated by the European Commission, and signatories include online retailers Amazon, Alibaba and eBay, and brands such as Adidas, Nike, Hermes and Moncler.

Temu is set to make a presentation at a Nov 11 meeting of the MOU members as a “potential new signatory”, the agenda note showed.

Temu is in discussions to join the initiative, a spokesperson said in a statement to Reuters, adding that “collaborative efforts are essential” to address counterfeiting.

Temu’s engagement with the anti-counterfeits network comes as European Union authorities ramp up pressure on Temu to improve its controls on products sold to European shoppers through its marketplace.

The European Commission on Oct 31 launched an investigation into Temu over potential breaches of EU rules against the sale of illegal products, having earlier in October requested information from Temu under the Digital Services Act (DSA), an EU law.

Temu, a subsidiary of Chinese e-commerce giant PDD Holdings, has grown rapidly in Europe and the United States through aggressive marketing, drawing millions of users to its website and app with the slogan “shop like a billionaire”, offering rock-bottom prices on everything from kitchen appliances and electronics, to clothing and accessories.

Many of the clothes, shoes and handbags sold on the site are designed to look similar to popular branded products, at a fraction of the price.

An industry source, who asked not to be named, said it was concerned that accepting Temu’s signature to the anti-counterfeits MOU would affect the credibility

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