EU regulators have raided Temu’s European headquarters in Dublin to investigate possible violations of foreign subsidy laws. The raid happened without warning last week at Temu's office on St Stephen’s Green, a prestigious location in Dublin. A European Commission spokesperson confirmed the unannounced inspection was linked to the foreign subsidies regulation. Temu, a Chinese online retailer with about 116 million monthly EU users, connects shoppers to millions of sellers, promising they can "shop like a billionaire." The company is already under EU scrutiny for alleged failures to stop illegal products being sold on its platform, following a Digital Services Act probe launched last year. EU officials said in July that Temu was not doing enough to prevent such sales. Temu responded, saying, "Temu takes product safety and compliance very seriously. We have a system of seller vetting, proactive monitoring and responsive takedowns to prevent, detect and remove unsafe products." The EU’s foreign subsidy rules aim to stop companies getting unfair advantages from government help. Last year, the EU imposed tariffs up to 38% on some Chinese car makers found to have received direct and indirect subsidies. This investigation into Temu adds to rising concerns over the EU-China trade imbalance. Just last month, data showed Germany imported more from China than it exported to it for the first time. Overall, China’s export surplus reached over $1 trillion, with the EU facing a trade deficit of over $350 billion last year. Experts say Chinese manufacturers are increasing shipments to Europe and other regions in response to US tariffs.