A group of 21 Republican state attorneys general, led by Montana Attorney General Austin Knudsen, is investigating the Chinese online retailer Temu over allegations of forced labor and ties to the Chinese Communist Party (CCP). The AGs sent a letter demanding that Temu and its parent company, PDD Holdings, Inc., provide detailed information about their business practices, including how they ensure compliance with U.S. laws aimed at preventing forced labor.
The inquiry follows alarming discoveries made by the U.S. House Select Committee on the CCP, which found that Temu does not have policies in place to prevent products from the Xinjiang region—where the CCP is accused of genocide—from being sold on its platform. The committee also discovered that Temu conducts no audits to verify its suppliers’ compliance with the Uyghur Forced Labor Prevention Act (UFLPA), relying solely on voluntary disclosures from China-based suppliers.
The AGs expressed concern that Temu’s lack of oversight “virtually ensures” that forced labor-made goods are being sold in the U.S. Additionally, they questioned whether U.S. consumer data collected by Temu is being shared with the CCP or is accessible to Chinese authorities.
Knudsen stressed the importance of protecting consumers from companies that could be compromising their data or supporting unethical labor practices. “Temu’s business practices and apparent ties to the Chinese Communist Party are deeply concerning,” he said, adding that the investigation aims to ensure that Temu complies with state laws.
The AGs have given Temu 30 days to provide a comprehensive response, warning that they will take further action if the company fails to address these concerns. As pressure mounts, Temu is facing intense scrutiny from both state and federal officials over its business practices and potential links to forced labor and the CCP.
