EU Cracks Down on "Unsafe" Goods Sold Online Temu, Shein, Amazon in the Crosshairs?

EU Cracks Down on Unsafe Goods Sold Online Temu, Shein, Amazon in the Crosshairs?

The European Union (EU) has taken a significant step to curb the influx of potentially hazardous products entering its borders. According to a draft proposal seen by the Financial Times, e-commerce giants such as Temu, Shein, and Amazon Marketplace will be held liable for unsafe goods sold online. This major shift in customs reforms aims to strengthen control and inspection of packages before they arrive in the EU.

What's Driving the Change?

The current system treats individual consumers purchasing goods online as importers for customs purposes, allowing a free-for-all when it comes to product compliance. However, the new proposal reverses this approach, placing responsibility squarely on the shoulders of online retailers. This means Temu, Shein, and Amazon will be required to collect duties, VAT, and ensure their products meet EU requirements.

How Will It Work?

To streamline this process, the 27 national authorities will pool their customs data, giving rise to a new central EU Customs Authority (EUCA). This unified entity will screen goods based on the provided information, identifying potential risks before they reach EU shores. In essence, the EU is proactively addressing the issue of unsafe products by making online platforms more accountable.

Industry Reactions

As of yet, Amazon, Shein, and the EU have not commented publicly on this development outside of business hours. Temu could not be immediately reached for a statement.

What's Next?

As the dust settles, we can expect these e-commerce giants to adapt to their new roles as custodians of safe and compliant goods. With the EU's increased scrutiny, it is likely that product quality will see an uptick, and buyers will reap the benefits of this enhanced oversight.

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Edward Lance Arellano Lorilla

CEO / Co-Founder

Enjoy the little things in life. For one day, you may look back and realize they were the big things. Many of life's failures are people who did not realize how close they were to success when they gave up.