China slams EU's record €550 mln fine on AliExpress over counterfeits

Published Jul 22, 11:19 PM UTC

China's Ministry of Commerce has strongly criticized the European Union after the European Commission fined AliExpress, the largest Chinese e-commerce platform in the bloc, 550 million euros (over $627 million) for failing to curb the sale of counterfeit goods under the Digital Services Act (DSA). Beijing expressed 'strong dissatisfaction and serious concern,' accusing the EU of erecting digital barriers and discriminating against Chinese companies. The EU stated that AliExpress failed to assess risks from its recommender and advertising systems that exacerbated the spread of illegal products, and did not properly enforce penalties against errant traders. This is the largest DSA fine to date and the second against a Chinese firm this year, following a 200 million euro fine on Temu in May. Chinese ultra-fast fashion retailer Shein is also under DSA investigation for potential breaches related to illegal products, addictive design, and algorithm transparency.