Consumer Product Safety Commissioners are calling on their agency to open an investigation into e-commerce retailers SHEIN and Temu for online products that do not meet U.S. safety standards.
Temu is a subsidiary of PDD Holdings, based in Shanghai (NASDAQ:PDD) SHEIN is based in Singapore.
He joint declaration Commissioners Peter Feldman and Douglas Dziak raise concerns about “lethal products for babies and toddlers” that are easily found on the SHEIN and Temu platforms, as well as companies’ use of de minimis shipping to ship products to the U.S. to avoid an import tax on goods over $800.
Of particular concern is padded crib bumpers which were banned by Congress in 2022 but are still available through SHEIN and Temu. Safe Sleep Act for Infants prohibits the sale, distribution, manufacture and import of all crib bumpers due to the risk of suffocating or becoming trapped between the bumper and the crib.
“As the Commission sets its priorities for the coming year, we expect agency staff to investigate the companies' safety and compliance controls; their relationships with third-party sellers and consumers; and any representations they make when products are imported,” the letter states.
PDD Holdings (PDD) shares closed more than 5% lower On Wednesday.
