Controversial Chinese E-commerce Giant Temu Returns to Super Bowl with Lawmakers Urging CBS and Paramount Not to Air Ad
Temu, the Chinese e-commerce giant that has been making waves in the industry, is set to make a comeback at this year’s Super Bowl with a highly anticipated advertisement. However, this return is not without controversy, as lawmakers are urging CBS and Paramount not to air the ad due to allegations of slave labor and customer surveillance.
Last year, Temu made headlines when it ran an ad during the Super Bowl just a few months after its founding. The advertisement highlighted Temu’s low prices and invited consumers to shop “like a billionaire.” This multi-million dollar investment propelled Temu to the top, and by the end of 2023, it became the most downloaded app in the U.S., boasting over 51 million monthly active users in January 2024, a staggering 300% increase compared to the previous year.
While the specifics of this year’s ad remain undisclosed, it has already stirred up controversy. Temu aims to win over U.S. shoppers by positioning itself as the next best “everything store” with lower prices than its competitors. However, lawmakers argue that the company engages in slave labor within its supply chain and spies on its customers.
In a letter sent to the CEOs of CBS and Paramount, 11 Republican lawmakers expressed their concerns and urged them not to air Temu’s advertisement. The letter referred to findings from the House Select Committee on the Chinese Community Party, which revealed a pattern of noncompliance by Temu towards illicit products entering the U.S. market. The lawmakers specifically mentioned Temu’s failure to comply with the Uyghur Forced Labor Prevention Act (UFLPA), which raises concerns about products made with forced labor entering the United States.
The letter emphasized that allowing Temu’s commercial to air would be detrimental to the home team, stating, “Allowing Temu’s commercial to air ‘would be a touchdown for the Chinese Communist Party against the home team.'” The letter was signed by several representatives, including Rep. Carol Miller, Rep. Byron Donalds, Rep. Jim Banks, and Rep. Nicole Malliotakis, among others.
Both Paramount and CBS declined to comment on the matter.
The allegations of labor practices have been a subject of investigation by the House Select Committee on the Chinese Communist Party since May. Temu, along with other apparel retailers manufacturing in China, has faced scrutiny regarding the use of forced labor in their supply chains. While the fashion industry as a whole struggles with the issue of forced labor in cotton and other raw materials, some retailers, like Shein, have been proactive in addressing the problem. Shein regularly provides data on the presence of banned cotton in its clothes and publishes audit results of its manufacturers. However, Temu has yet to provide such data publicly.
Congressman Blaine Luetkemeyer, a committee member, criticized Temu’s practices and condemned their upcoming ad. He stated, “It’s sickening to think a company built on slave labor with close ties to the Chinese Communist Party is going to make a direct appeal to millions of Americans all at once.” Luetkemeyer hopes that the ad will draw attention to the questionable background of both Temu and its parent company, Pinduoduo.
In response to the allegations, a spokesperson for Temu defended the company’s practices and compared them to major e-commerce players like Amazon, eBay, and Etsy. The spokesperson stated that Temu strictly prohibits the use of forced, penal, or child labor and ensures that all merchants and suppliers adhere to legal standards and regulations. They emphasized that Temu’s standards and practices surrounding forced labor are no different from those of other major e-commerce platforms.
As the controversy surrounding Temu’s Super Bowl ad continues to unfold, it remains to be seen whether CBS and Paramount will heed the lawmakers’ call to refrain from airing the advertisement. The outcome of this situation could have significant implications for Temu’s reputation and future in the U.S. market.