On December 11, the European Commission made an announcement: it has initiated two distinct investigations. The targets are Nuctech, a Chinese manufacturer of security inspection equipment, and Temu, a cross-border e-commerce platform. The purpose is to determine whether the Chinese government subsidies they received have, in line with the Foreign Subsidies Regulation (FSR), distorted competition within the EU market. These investigations cover Nuctech's offices in the Netherlands and Poland, as well as Temu's European headquarters in Dublin.

Both companies have already found themselves under the EU's microscope before, facing surprise inspections due to similar allegations. In April 2024, Nuctech was the subject of a raid. Following this, in July, it took legal action by filing a lawsuit with the EU General Court, claiming that the investigation was conducted illegally. On the other hand, Temu is currently under antitrust scrutiny. Additionally, it's being reviewed under the Digital Services Act, mainly because of its pricing strategies and issues related to product compliance. Moreover, the EU is planning to do away with tax exemptions for imported goods valued at less than €150. This move is set to further strengthen regulatory oversight of Chinese companies.