The Commission preliminarily finds Temu in breach of the Digital Services Act regarding illegal products on its platform
Today, the Commission has preliminarily determined that Temu has failed to meet the requirements of the Digital Services Act (DSA) by not adequately assessing the risks of illegal products being sold on its marketplace.
Evidence indicates a significant risk for EU consumers encountering illegal products on the platform. Specifically, a mystery shopping exercise by the Commission revealed that consumers on Temu are likely to find non-compliant products, including baby toys and small electronics.
Henna Virkkunen, Executive Vice-President for Tech Sovereignty, Security, and Democracy, stated: “We shop online because we trust that products sold in our Single Market are safe and comply with our regulations. In our preliminary assessment, Temu is not meeting the risk assessment standards required by the Digital Services Act. Ensuring consumer safety online is non-negotiable in the EU; our laws, including the Digital Services Act, are foundational for better online protection and a safer, fairer digital Single Market for all Europeans.”
More information can be found in our press release.
(For more information: Thomas Regnier — Tel. + 32 2 299 10 99; Patricia Poropat — Tel: + 32 2 298 04 85)
EU agricultural markets remain resilient
Despite global uncertainties, EU agricultural markets show resilience, as highlighted in the summer 2025 short-term outlook report for EU agricultural markets released today by the Commission.
The report anticipates an increase in cereal and oilseed production, improving the EUs trade balance, while olive oil production is recovering sharply and milk deliveries remain stable. EU cereal production is expected to rise by 4.1% in 2025/26, with exports up 26% and imports down 19%. Poultry production is projected to increase by 1.8% due to rising demand. However, production prospects are declining for sugar (-8%), wine (projected to hit a 20-year low in 2024/25), and less so for ruminant meat. EU beef prices remain historically high, with production declines expected due to smaller herds. The EU sheep and goat meat production might drop by 2%, leading to reduced meat exports and increased imports amid high prices and stable demand. EU pigmeat production is expected to remain stable with consistent demand.
Fruit and vegetable production shows mixed results due to adverse weather, with peach and nectarine output down 5.8% and apple production expected to decrease by 4%. Conversely, EU orange production is set to rise by 4.6% from previous seasons record lows.
The outlook is subject to risks from geopolitical conflicts, rising trade tensions, and climate variability. Nevertheless, despite high food inflation, input costs have stabilized recently, and yield prospects for winter crops appear promising.
More details can be found online.
(For more information: Balazs Ujvari - Tel.: +32 2 295 45 78; Thérèse Lerebours - Tel.: +32 2 296 33 03)
First EU Anti-Poverty Strategy enters public consultation phase
The Commission invites citizens, experts, and organizations to help shape the EUs inaugural Anti-Poverty Strategy, now open for public consultation. This strategy, to be presented next year, aims to protect those most in need and address the root causes of poverty. It will also be crucial in implementing the European Pillar of Social Rights, as the EU aims to reduce the number of individuals at risk of poverty by at least 15 million by 2030.
Executive Vice-President for Social Rights and Skills, Quality Jobs and Preparedness, Roxana Mînzatu, stated: “Today, in the EU, one in five adults and one in four children are at risk of poverty or social exclusion. This is simply unacceptable. We need bold and decisive actions to achieve our 2030 targets, which is why we need the EU Anti-Poverty Strategy. We must break the cycle of poverty and build a more prosperous, inclusive future for everyone. I encourage individuals, NGOs, and all stakeholders to participate in this consultation. Their insights will help us create a strategy that genuinely addresses the realities and challenges people encounter.”
This strategy is part of the Commissions broader commitment to combat poverty and promote social inclusion.
Both the public consultation and the call for evidence will remain open for 14 weeks, until October 24, 2025.
(For more information: Anna-Kaisa Itkonen – Tel.: +32 2 295 75 01; Quentin Cortès – Tel.: +32 291 32 83)
Commission opens in-depth foreign subsidies investigation into ADNOCs acquisition of Covestro
The European Commission has initiated an in-depth investigation to evaluate the acquisition of Covestro by Abu Dhabi National Oil Company (ADNOC) PJSC under the Foreign Subsidies Regulation (‘FSR’). The Commission has preliminary concerns that foreign subsidies from the United Arab Emirates (UAE) may distort the EU internal market.
ADNOC is a state-owned oil and gas producer in the UAE, while Covestro is a chemicals manufacturer based in Germany.
The preliminary investigation suggests that both ADNOC and Covestro may have received foreign subsidies that could distort the EU internal market.
The Commission now has 90 working days, until December 2, 2025, to reach a decision. The opening of an in-depth investigation does not indicate the outcome of the investigation.
A press release is available online.
(For more information: Lea Zuber – Tel.: +32 2 295 62 98; Luuk de Klein – Tel.: +32 229 94774)
Commission clears acquisition of Rentokil Initial Holdings by H.I.G. Capital
The European Commission has approved the acquisition of sole control of Rentokil Initial Holdings (France) S.A. by H.I.G. Europe Middle Market LBO Fund II, SCSp of Luxembourg, controlled by H.I.G. Capital, LLC of the US under the EU Merger Regulation.
This transaction primarily pertains to the market for rental, dry cleaning, and related maintenance services in professional textiles and cleanroom services.
The Commission concluded that this transaction would not raise competition concerns, as the companies do not operate in the same or vertically related markets. The transaction was reviewed under the simplified merger review procedure.
More information is available on the Commissions competition website, in the public case register under case number M.12033.
(For more information: Lea Zuber – Tel.: +32 2 295 62 98; Luuk de Klein – Tel.: +32 229 94774)
Commission clears acquisition of PAL Cooling by Tabreed and DIF
The European Commission has approved the joint control acquisition of PAL Cooling Holding LLC by National Central Cooling Company PJSC (Tabreed) of the UAE and DIF Management B.V. of the Netherlands under the EU Merger Regulation.
This transaction primarily relates to the district cooling sector.
The Commission found that this transaction would not raise competition concerns, considering its limited impact on the European Economic Area. The transaction was examined under the simplified merger review procedure.
More information is available on the Commissions competition website, in the public case register under case number M.12047.
(For more information: Lea Zuber – Tel.: +32 2 295 62 98; Luuk de Klein – Tel.: +32 229 94774)
ANNOUNCEMENTS
Commissioner Šuica attends the High-Level Conference on the two-state solution for Palestine
Today and tomorrow, Commissioner for the Mediterranean, Dubravka Šuica, is participating in the High-Level Conference on the Question of Palestine and the Two-State Solution at the United Nations Headquarters in New York.
Commissioner Šuica will meet with António Guterres, United Nations Secretary-General; Faisal bin Farhan bin Al-Saud, Saudi Minister of Foreign Affairs; and Florian Hahn, State Minister at the Foreign Office of Germany.
Representing the EU, Commissioner Šuica will reaffirm the EUs commitment to a two-state solution as the only viable path to a just, lasting, and sustainable peace. She will highlight the EUs ongoing efforts to alleviate the humanitarian crisis in Gaza and support for a reformed and revitalized Palestinian Authority as the legitimate governing body of a future Palestinian state. The Commissioner will also engage in discussions regarding the ‘day after,’ focusing on international initiatives for recovery and reconstruction in Gaza.
The Commission has allocated €30 million to the United Nations Relief and Works Agency for Palestine Refugees (UNRWA), the second installment of this years funding under the multiannual Comprehensive Support Programme for Palestine to assist the agency in paying teachers and medical staff salaries.
The high-level conference represents a significant international effort to promote the two-state solution amidst the humanitarian crisis in Gaza and escalating tensions in the West Bank. Co-chaired by France and Saudi Arabia, the conference aims to create an action-oriented roadmap for peace, based on international law and the International Court of Justice 2024 opinion on the illegality of the occupation. It gathers global actors to coordinate post-war reconstruction in Gaza, support Palestinian institutional reform, advance hostage release, and promote broad diplomatic recognition of a Palestinian state, aiming to shift the status quo towards a just, lasting solution.
(For more information: Guillaume Mercier – Tel.: +32 2 298 56 91; Luca Dilda – Tel.: +32 2 295 21 53)
Tentative agendas for forthcoming Commission meetings
Note that these items can be subject to changes.
Upcoming events of the European Commission
Eurostat press releases