AliExpress Issued €550 Million Fine by EU Over Illegal Product Sales

The European Union has levied a substantial €550 million fine against AliExpress, the Alibaba-owned e-commerce platform, citing the company's inadequate measures to stop the sale of illicit goods. This enforcement action, confirmed by EU regulators, represents the highest penalty to date under the Digital Services Act (DSA).

The ruling follows a comprehensive two-year investigation into AliExpress's operational compliance with EU regulations. Authorities scrutinised the platform's systems for identifying and removing counterfeit items, unsafe products, and other prohibited merchandise available for purchase by European consumers.

The DSA, which became fully applicable in February, mandates that very large online platforms and search engines enhance their efforts to combat illegal content and products. Non-compliance can result in fines reaching up to 6% of a company's annual global turnover, underscoring the EU's commitment to regulating digital markets and holding major tech firms accountable for content and commerce hosted on their platforms.