Chinese marketplaces face calls for prohibition from German merchants due to low prices
The European Union (EU) is taking decisive action to address concerns about consumer protection, product safety, and unfair competition, particularly in relation to Chinese discount marketplaces. Although an outright ban has not been imposed, the EU is significantly tightening regulations concerning imports, e-commerce platforms, and product compliance.
On July 9, 2025, the European Parliament adopted a resolution advocating for comprehensive reforms to e-commerce and imports. This resolution includes the removal of the EUR 150 customs duty exemption for low-value consignments, strengthened customs enforcement through the reform of the Union Customs Code, and the swift rollout of the Digital Product Passport (DPP) to boost traceability and product compliance [1][3].
The EU has flagged Chinese platform Temu as "high-risk," citing breaches of the Digital Services Act (DSA) for inadequate risk assessment related to the sale of illegal and non-compliant products such as baby toys and small electronics violating EU safety standards [2][4][5]. The Commission's preliminary findings accuse Temu of failing to control dangerous and illegal items on its marketplace, with the possibility of fines reaching up to 6% of the company's worldwide turnover if violations are confirmed [4][5].
This crackdown on non-EU imports, especially from China, which accounted for 91% of e-commerce shipments below €150 entering the EU in 2024, is part of a broader effort to ensure product safety and fair competition [3].
A separate survey conducted by Bitkom, an IT industry association, reveals growing skepticism among German traders towards Chinese discount marketplaces. The survey found that 78% of German traders support a ban on these marketplaces, and 88% believe the EU should protect the European internal market from non-European online marketplaces [6]. Furthermore, 85% of traders believe these platforms frequently violate German law, and 92% support the abolition of the current customs exemption limit of 150 euros for the import of non-European products [7].
The survey, which interviewed 505 trading companies with at least ten employees in Germany, also found that 41% of trading companies plan to replace non-European suppliers with European ones. However, it did not provide specific data on which geopolitical conflicts are causing the most concern for traders or the industries or types of products affected by the desire to reduce product range [8].
As concerns about geopolitical developments continue to grow among German traders, 67% of traders are convinced that Germany is at the beginning of a trade war [9]. The survey was published on Tuesday.
References:
- EU Parliament resolution on the EU Strategy on E-commerce (2021/2032)(RSP)
- EU flags Chinese platform Temu as 'high-risk'
- EU to tighten regulations on Chinese discount marketplaces
- Temu faces EU probe over breaches of digital services act
- EU to investigate Chinese e-commerce platform Temu over safety concerns
- German traders call for ban on Chinese discount marketplaces
- Survey: Most German traders support ban on Chinese discount marketplaces
- Bitkom survey on German traders' views on Chinese discount marketplaces
- Traders fear Germany is at the beginning of a trade war
In light of the EU's crackdown on non-EU imports, particularly from China, there is growing concern and skepticism among German traders regarding Chinese discount marketplaces. This sentiment is reflected in a recent survey conducted by Bitkom, an IT industry association, which revealed that 78% of German traders support a ban on these marketplaces and 85% believe these platforms frequently violate German law [6][7]. Moreover, the financial sector and businesses are closely watching this situation, as it intersects with the general news about politics and the EU's efforts to ensure product safety and fair competition in e-commerce [1][2][3][4][5].