Shein, Temu and Amazon will have to comply with the EU regulations by ceasing to sell counterfeits, dangerous or harmful items for health. In the event of defective products, marketplaces will be the only responsible.
Carried by an offensive marketing strategy and unbeatable prices, the mastodons of e-commerce Amazon, Shein and Temu occupy a place of choice on the European market. Despite the many criticisms – incentive to overconsumption, disastrous ecological imprint, dubious working conditions, quite relative personal data protection … -, these online sales platforms continue to seduce massively. A dazzling success that has not escaped the European authorities, now determined to react more firmly.
One of the problems with these platforms is that they sell counterfeits, dangerous or harmful articles, ignoring European regulations. Also, the European Union has hardened the tone and is now engaging in the platforms for all dangerous or illegal products sold on their site, as reported Financial Times. A strengthening of European legislation intended to protect European consumers in the face of the influx of low -cost products, mainly from China.
Shein, Temu, Amazon: the marketplaces put in front of their responsibilities
In total, more than 90 % of products “of low value” who entered the European Union in 2024 came from China from online sales platforms. But, on these online platforms, the quality of the products has often been pointed out. According to an overwhelming study published in February 2024, more than nine out of ten toys sold on TEMU do not comply with European security rules. Intoxication, suffocation, cut … Products have significant risks for children’s health. Likewise, Shein and Temu tend to incorporate substances dangerous for the health of their customers in the clothes they sell (see our article). Despite his efforts, Amazon does not escape it too.
But, so far, the platforms have always found the legal response: their marketplaces (marketplaces) are only in touch with third -party sellers and buyers. Thus, any individual who buys goods online outside the EU, and beyond a certain amount, is considered importer and must pay customs duties and value added tax (VAT). But, above all, he finds himself assuming the risks linked to potentially defective or dangerous articles.
Brussels is determined to disrupt this flow by subjecting these famous packages to obligations from which they are currently exempt. As part of a project to reform the European Customs Code, the EU will force marketplaces to provide data before the arrival of goods in the European Union, thus making it possible to better control and inspect packages. They will have legal responsibility for dangerous or illegal products in place of importers and will therefore be forced to guarantee the conformity of articles to European regulations. The customs data of the twenty-seven EU members will be pooled and a new central customs authority (EUCA) will be set up to supervise these operations.
Shein, Temu, Amazon: a customs reform that divides
Obviously, the e-commerce platforms concerned are far from delighted. Indeed, this new legislation could largely affect the economic model of platforms like Temu and Shein, the success of which is largely based on ultra-competitive prices and a direct supply chain from China. For its part, Amazon reacted through its European spokesperson and, again, the American giant is hardly enthusiastic: “We support the objective of strengthening consumer safety, but we fear that certain measures do not create a disproportionate charge on European platforms compared to their foreign competitors”.
In the event of non-compliance with this new regulation, the EUCA may block the entry of non-compliant products and impose sanctions on the offender platforms. These rules will undoubtedly be beneficial since they will fully ensure consumer safety. However, they could have a negative setback, penalizing consumers with modest incomes that depend on these platforms to access certain products at affordable prices. Not to mention that additional taxes, namely the reform will impose customs duties for parcels worth less than 150 euros, where they were so far exempt. This could result in an immediate increase in prices for consumers as well as extension of delivery times (see our article).
The new rules should gradually come into force from July 2025, in order to leave the platforms for a few months to adapt their processes and comply with this new regulatory framework.