EU imposes record €550 million fine on AliExpress for DSA breaches
The largest ever penalty under the Digital Services Act targets the Chinese e-commerce giant’s failure to curb illegal, unsafe, and counterfeit goods on its platform.
European Union regulators have imposed a record €550 million ($629 million) fine on AliExpress for failing to adequately curb the sale of illegal, unsafe, and counterfeit goods on its platform. The penalty, announced by European Commission Vice President Henna Virkkunen, is the largest ever issued under the Digital Services Act (DSA).
AliExpress, which has 193 million users in the EU, plans to appeal the decision, calling the fine disproportionate. The company has until October 20 to submit a remediation plan, with further penalties possible if the plan is deemed insufficient.
The fine relates to shortcomings in curbing counterfeit clothing, unsafe toys, dangerous cosmetics, and other illegal products. EU officials noted that one in five Europeans shop monthly from Shein, Temu, and AliExpress.
AliExpress is part of the Alibaba Group. A year prior, AliExpress agreed to tighten controls on illegal and potentially dangerous goods, but the EU stated this did not fully resolve broader concerns.
Other recent DSA penalties include a €200 million fine on Temu in May and a fine on Elon Musk’s social media platform X in December last year.
