Temu wins US injunctions as PDD’s overseas e-commerce platform pushes ahead with legal battles against phishing sites

A United States court has granted preliminary injunctions to Temu, owned by Shanghai-based PDD Holdings, against phishing sites in the latest development in its legal action against websites that impersonate the fast-growing online marketplace.

Temu later extended its actions against more sites in the US and Europe, with a total of over 50 websites targeted by its lawsuits.

The US District Court for Arizona issued preliminary injunctions against some of the defendants between November 20 and 22, according to a statement by Temu on Wednesday.

How Temu, an app for US shoppers, helped PDD catch up with Alibaba in market value

“Temu will continue to fight for the rights of consumers, ensuring their safety against the predatory tactics of scam sites. We will not let up in our efforts to hold scammers who impersonate us and cheat consumers to account,” a Temu spokesperson said in the statement.

Temu also urged consumers to report fraudulent activities, and use their official websites and apps only.

The legal actions come amid Temu’s rapid rise after it entered the US e-commerce market last September, before its expansion into Europe, Asia and the Middle East.

PDD’s third-quarter revenue rose 94 per cent to 68.8 billion yuan (US$9.6 billion), much faster than bigger rivals Alibaba and JD.com, whose sales grew only 9 per cent to 224.8 billion yuan and 1.7 per cent to 247.7 billion yuan, respectively, in the same period.

Just a year after launch Temu became the most downloaded shopping app globally in the first three quarters of 2023 in iOS and Google Play combined, according to a report by Data.ai last month, ahead of its competitor Shein, founded in Nanjing and headquartered in Singapore, and the US e-commerce giant Amazon.

The US market contributed 60 per cent of Temu’s sales, which reached US$5 billion in the third quarter, Chinese tech media outlet 36Kr.com reported in October. Temu’s September sales have closed in on Shein in the US market, according to a separate report by Chinese media outlet LatePost last month.

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