Locate2u the Company & its Products ▾

Locate2u Pulse is a software platform designed for any delivery or service business. Learn more here.

Locate2u News

Locate2u News offers up-to-date logistics and e-commerce insights from across the globe, keeping you informed on industry trends and developments.

Locate2u Pulse

Locate2u is a software platform designed for any delivery or service business. Our solution helps these businesses improve their route efficiency, improve their customer’s delivery experience, and increase productivity, all while reducing the time it takes to plan routes.

More calls for investigations into Temu and Shein

More calls for investigations into Temu and Shein
More calls for investigations into Temu and Shein
Share this article

Temu and Shein’s product safety is in the spotlight again. This time, US Consumer Product Safety Commission members are urging a probe. 

CNBC reports concerns about the safety practices of “foreign-owned” e-commerce platforms like Shein and Temu. The concerns center around “deadly baby and toddler products.”

What prompted the calls?

CPSC Commissioners Peter Feldman and Douglas Dziak are urging the agency to investigate Temu and Shein’s safety and compliance controls. According to media reports, they also want the relationships with third-party sellers and consumers to be under the microscope. 

In a letter to the commission, the commissioners wrote that they want to understand how these brands focus on low-value products and how firms with little or no US presence distribute consumer products through these platforms.

Unsafe baby products

Temu took center stage last month for offering padded crib bumpers, which are not legal in the US due to the suffocation hazards.

Shein is also in the spotlight for selling children’s hoodies with drawstrings, which regulators have marked as unsafe for the age group.

Shein and Temu respond to claims 

Shein has reportedly vowed that “consumer safety is a top priority” and that the company is investing heavily in strengthening its compliance programs. 

They also claim to partner with testing agencies to improve their product safety practices. 

Its rival, Temu, says all sellers must comply with the laws and regulations regarding product safety. Its interests must be aligned with the CPSC to ensure consumer protection.

Temu’s financial outlook

PDD Holdings, which owns Temu, has just celebrated a massive revenue jump of 86% and profit increases of 156% for the last quarter. 

Locate2u reported these impressive numbers, which might be seen as a massive competition to Shein. However, the top leaders warn that this is due to settle down sometime. 

Temu’s vice president of finance, Jun Liu, is quoted as saying that the revenue growth will “inevitably face pressure.”

NOW READ: Temu reaches the top five popular platform status in Australia

Share this article

About the author

Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.

Capterra Pixel