Chinese merchants operating on Temu, the international platform of Chinese e-commerce giant Pinduoduo, who have been protesting what they describe as unsustainable policies on the platform, are transitioning their business to Amazon, disheartened by Temu’s handling of their grievances.
On Temu, merchants describe anti-business penalties, including substantial “fines” that can reach up to five times the transaction value when purchases are returned, and the withholding of payments whenever customers lodge complaints or request refunds on goods already shipped. Temu allows customers to retain items even after a refund, due to the prohibitive costs of international return shipping, and merchants report receiving no compensation in such instances.
