Pakistan’s Competition Commission (CCP) has urged the Pakistan Telecommunication Authority (PTA) to block Chinese e-commerce giant Temu, citing anti-competitive behavior and risks to consumer protection.
The CCP’s letter, dated August 22, 2025, warns that Temu’s unregulated entry into Pakistan’s digital marketplace has triggered widespread disruption, particularly for small and mid-sized local retailers struggling to compete with its ultra-low pricing tactics.
Complaints Mount From Retail Industry
The move comes after mounting pressure from trade bodies, including the Pakistan Retail Business Council and the Chainstore Association of Pakistan. Both groups accuse Temu of employing “predatory pricing” and aggressive advertising strategies that undermine traditional retailers.
Temu, which launched in Pakistan only months ago, has flooded social media and search platforms with gamified promotions and steep discounts. While consumers have flocked to the deals, critics argue that such campaigns manipulate buying behavior and could push domestic sellers out of the market.
Consumer Protection Concerns
Beyond competition issues, local entrepreneurs and independent sellers are raising alarms about Temu’s lack of consumer safeguards. The platform reportedly offers no local return hubs, no cash-on-delivery option—a staple of Pakistan’s e-commerce market—and features questionable product reviews, which some claim are recycled or fake.
Analysts say this lack of accountability puts Pakistani shoppers at risk, especially in a country where trust in online shopping platforms is already fragile.
A Regional Pattern
Pakistan isn’t the first to scrutinize Temu’s operations. Indonesia and Vietnam have already taken steps to restrict the platform, citing similar complaints over market distortion and consumer exploitation. The CCP’s request signals growing regulatory pressure on foreign e-commerce platforms seeking to dominate developing markets without following local rules.
The final decision now rests with the PTA, which has the power to block Temu’s access in Pakistan. If approved, the move could mark one of the country’s most significant crackdowns on an international e-commerce player.
