EU regulators have imposed a 550‑million‑euro fine on AliExpress for allowing illegal goods, including unsafe toys and cosmetics, to remain on its platform.
EU cites repeated violations under the Digital Services Act
The European Commission said the marketplace failed to remove prohibited items promptly, often leaving them online for weeks after detection. Investigators found that many products did not meet the bloc’s strict safety and environmental standards.
According to the commission, the platform also fell short in blocking counterfeit merchandise. Its mandatory “brand authorisation” system was described as “ineffective and understaffed,” enabling traders to bypass safeguards.
EU tech chief Henna Virkkunen noted that “risks must be identified and addressed systematically to ensure consumers can safely shop online.” She added that the fine reflects the nature of the violations, the impact on Europeans and the duration of the infringements.
Broader trade tensions and potential fallout
AliExpress, the largest Chinese e‑commerce site in the EU with 193 million users, faces the steepest penalty ever levied under the Digital Services Act, which came into force in 2022.
The company called the sanction “disproportionate” and said it does not fully reflect its “established framework and the significant, proactive enhancements we have made.” It announced it is “considering all available options.”
The EU’s action arrives amid growing trade friction with China. Officials have warned that the bloc is confronting a large trade imbalance, citing a flood of cheap Chinese goods that they say undermine local manufacturers.
Enforcement context under the DSA
The Digital Services Act empowers regulators to demand that the world’s largest digital intermediaries assess the systemic risks they create and adopt concrete mitigation measures. The Commission has already demonstrated willingness to apply the law across sectors, as shown by fines imposed on a major social media service and another fast‑growing e‑commerce competitor.
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Investigators highlighted that AliExpress “overestimated the effectiveness of its system in detecting and removing illegal products,” noting that many items resurfaced after initial removal and continued to be suggested to shoppers through algorithmic recommendations.
Evidence gathered by the EU indicated that sellers of prohibited goods remained active on the platform, suggesting that existing monitoring tools were insufficiently robust to prevent repeat offenses.
Implications for the wider Chinese e‑commerce setting
AliExpress holds the position of the biggest Chinese marketplace in Europe, outpacing rivals such as the fashion‑focused retailer and the other rapid‑growth platform, which together account for sizable user bases.
Trade officials have repeatedly warned that an influx of low‑priced imports from Chinese manufacturers strains domestic producers, a narrative that underpins broader policy moves such as recent parcel‑levy introductions aimed at curbing perceived unfair competition.
By insisting that compliance standards be applied uniformly, the Commission seeks to avoid accusations of protectionism while reinforcing the principle that consumer safety and intellectual‑property rights are non‑negotiable across all digital marketplaces.
Potential next steps for AliExpress
Regulators have given the platform a concrete timeline to submit a detailed remediation plan, outlining how it will enhance detection algorithms, reinforce brand‑authorisation procedures, and ensure swift takedown of non‑compliant listings.
Analysts anticipate that the forthcoming plan will be closely examined for the presence of dedicated staffing, upgraded verification workflows, and transparent reporting to the Commission, all of which are critical to demonstrating a systematic approach to risk management.
