EU Fines Alibaba's AliExpress 550 Million Euros Over Counterfeit Goods

Published Jul 20, 11:23 AM UTC

The European Commission has imposed a 550 million euro fine on Chinese online marketplace AliExpress for failing to prevent the sale of counterfeit and dangerous products. The EU found that counterfeit clothing, unsafe toys, and hazardous cosmetics remained on the platform for weeks without removal. AliExpress, owned by the Alibaba Group, was also criticized for insufficient staffing to review potentially illegal products and for recommending or advertising illegal items before removal. EU Digital Commissioner Henna Virkkunen stated the behavior endangers European consumers and is unfair to law-abiding companies. The fine is below the possible maximum penalty. AliExpress has until October 20 to submit an action plan for improvement, and the EU may impose daily fines if cooperation is insufficient. The case highlights growing EU scrutiny of Asian online retailers like Temu and Shein, which have gained market share in Europe.

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