Starting this summer, platforms like Temu, Amazon, and Shein will have to assume responsibility for defective or non-compliant products sold on their sites, including those offered by third-party sellers. This strengthening of European regulations, initiated by Brussels, aims to better protect European consumers against the influx of low-cost imported products, mainly from China.
Platforms now responsible
Until now, European consumers who purchased products on these platforms were considered legal importers. More concretely, this means that they had to assume the risks associated with potentially defective or dangerous items. The new European legislation changes the situation by reversing this logic. From now on, responsibility falls directly on the online sales platforms.
A reform that constitutes “a decisive turning point in the protection of European consumers,” explains Thierry Breton, European Commissioner for the Internal Market. “Platforms will no longer be able to hide behind their status as intermediaries to escape their responsibilities regarding the quality and safety of the products they market.“
What are the penalties for non-compliance?
The new regulations also require platforms to implement more rigorous verification systems for products even before they enter European territory. They will have to provide European customs authorities with detailed information on each item, allowing for more effective upstream control. This new legislation could significantly affect the business model of platforms like Temu and Shein, whose success relies heavily on ultra-competitive prices and a direct supply chain from China.
While the major Chinese platforms are directly affected, Amazon is not left out. The American giant reacted through its European spokesperson: “We support the objective of strengthening consumer security, but we are concerned that certain measures could create a disproportionate burden on European platforms compared to their foreign competitors.” According to European Commission data, more than 90% of low-value parcels entering the EU now come from China, mainly via platforms like Temu and Shein.
A delicate balance to find
The new European Customs Authority (EUCA), which is expected to be created before the end of the year, will be responsible for supervising the application of these new rules. It will have extensive powers to block the entry of non-compliant products and impose sanctions on offending platforms. The reform, while legitimate, also raises concerns about its impact on the accessibility of low-cost products. “This regulation was necessary, but care must be taken to ensure that it does not penalize low-income consumers who rely on these platforms to access certain low-cost products.” affordable prices,“ underlines Marie Delarue, president of the European Consumer Union.
The new rules should come into force gradually from July 2025, giving platforms a few months to adapt their processes and comply with this new regulatory framework which is profoundly reshaping the European e-commerce landscape.
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