The European Commission has approved Temu's plan to comply with the Digital Services Act, five months after fining the Chinese platform €200m ($233m). The Commission announced the decision on 26 October.

Temu now has four months to file an interim risk assessment, which must show that the steps in the plan are already in place. It covers a six-month period ending on 30 November 2026.

Temu is a Chinese online retail platform. The Digital Services Act (DSA) classes it as a very large online platform. It has 130m users in the EU's 27 countries, almost a third of the population, and is one of the biggest retailers in Europe.

The plan has five parts, all of them corrective steps. They include a risk assessment made specifically for Temu, using reliable, up-to-date data on the risks from the platform's design, how it works and how people use it.

The plan also adds reliable indicators to measure whether the steps limit the spread of illegal content.

Temu must also review gaps in the checks it runs on content itself, before anyone reports a problem, including how those gaps affect recommended products. The review covers the platform's rules, moderation rules, automatic detection tools, manual checks, feedback systems and how it divides its resources.

A further check will look at whether the systems that recommend products, and other algorithms, can boost the spread of illegal content.

The last part is an analysis of deliberate manipulation of the service and of how illegal content could spread quickly and widely. It must also show how sellers and other users could use the platform's features to list illegal products.

The Commission says Temu will closely monitor the steps against the sale of illegal goods and step up its efforts if needed. The plan was first reviewed by the Board of national digital services regulators, and the Commission then made the decision.

The Commission opened a formal investigation into Temu in October 2024. It sent the company its preliminary findings in July 2025. The non-compliance decision, with the fine, came on 28 May 2026. The deadline for the plan was 28 August, and Temu filed it in August.

Commission investigators say Temu failed to properly identify or tackle the risks from illegal and unsafe products sold to European consumers. Its 2024 risk assessment relied on general data about online shopping, not evidence about the platform itself. As a result, the Commission says, the company underestimated the chance that EU shoppers would come across illegal products.

The Commission also says Temu did not properly assess how its recommendation algorithms and its influencer promotion programme could spread illegal products.

Test purchases by an independent lab showed that many chargers fail basic safety checks. Several baby toys were rated "medium to high" risk because of banned chemicals and small parts a child could choke on.

"Risk assessments are not a box-ticking exercise. They are the backbone of the DSA," Henna Virkkunen, the Commission's executive vice-president for tech sovereignty, said in May.

Temu disputes the fine as disproportionate. The company says the case is about its first risk assessment, from 2024, and does not reflect its current systems.

Temu welcomed the approval of the plan. It says the plan shows its commitment to invest in solid compliance infrastructure to give all users in the EU a safe and trusted place to shop. "We appreciate the Commission's constructive engagement with us throughout the process," Temu said in a statement.

Under the DSA, big platforms can be fined up to 6% of their global annual turnover. If they fail to follow Commission decisions, they can also face periodic penalty payments.

In July, the Commission also fined AliExpress €550m, the biggest fine under the law so far.

Since July, the EU has charged a €3 fee on low-value parcels. Before that, parcels worth under €150 came in duty-free. Temu is among the platforms hit by the fee. Since the new rules, imports, especially from China, have fallen by 30% to 40%.