Chinese Marketplace TEMU Registers as a Taxpayer in Uzbekistan

Photo: fintech-retail.com

The Chinese online retailer TEMU has officially registered a legal entity in Uzbekistan, allowing it to pay taxes in the country. However, the risk of the platform being blocked remains, according to a statement from Uzbekistan’s Tax Committee on its Telegram channel.

Uzbek authorities say outstanding issues remain regarding TEMU’s operations in prior periods. Negotiations are ongoing, and a final decision on the marketplace’s future in Uzbekistan will be announced once discussions conclude.

Kamronbek Mukhamadiev, head of the e-commerce department at the National Agency for Advanced Projects (NAAP), told Gazeta.uz that March 20 remains the potential date for TEMU’s blockage. He clarified that registering a legal entity in Uzbekistan does not exempt the company from other legal obligations. TEMU must still:

- Pay taxes for the period when it operated without residency in Uzbekistan

- Integrate with the Tax Committee’s information systems to issue fiscal receipts

“The block has not been lifted. A decision will be made only after all requirements are met and approved by the relevant authorities. We will announce this officially. Until then, we advise users to refrain from placing orders on TEMU,” Mukhamadiev stated.

He added that TEMU representatives only began negotiations with Uzbek authorities after the announcement of the planned restriction on access to the platform.

Authorities first announced the potential blocking of TEMU on March 4. NAAP and the Tax Committee cited the platform’s failure to comply with Uzbek laws in areas such as e-commerce, retail, advertising, personal data protection, consumer rights, and intellectual property. Specifically, Uzbek law requires online marketplaces to be operated by a locally registered legal entity.

TEMU launched an advertising campaign in Uzbekistan in September 2024, quickly gaining popularity due to its low prices. However, concerns arose among government officials and experts.

For instance, economist Otabek Bakirov pointed out that TEMU was not registered in Uzbekistan and did not pay taxes, yet its business in the country was doubling every month.