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EU imposes billion-euro fine on Chinese web giant for selling illegal goods
🇩🇰 Denmark /Economy & Trade

EU imposes billion-euro fine on Chinese web giant for selling illegal goods

From Berlingske · () Danish

Translated from Danish, summarized and contextualized by DistantNews.

At a glance

News From a news agency Outcome reported
  • The EU is imposing a 550 million euro fine on the Chinese e-commerce platform AliExpress for facilitating the sale of illegal products.
  • The fine, the largest under the Digital Services Act (DSA), stems from AliExpress's failure to adequately prevent the sale of dangerous items like toys and cosmetics.
  • AliExpress disagrees with the ruling, calling it "disproportionate" and is reviewing its options.

The European Union is set to levy a substantial fine of 550 million euros (over 4 billion Danish kroner) against the Chinese online retail giant AliExpress. This significant penalty is due to the platform's alleged facilitation of the sale of illegal and dangerous products, including hazardous toys and cosmetics, violating EU regulations.

not done enough

— EUThe EU stated that AliExpress failed to adequately prevent the sale of illegal goods.

This fine marks the largest penalty issued under the EU's Digital Services Act (DSA), a law designed to hold online platforms accountable for removing harmful or misleading content and preventing the sale of illicit goods. According to the EU, AliExpress "has not done enough" to curb the trade of these prohibited items, thereby breaching the DSA's requirements. The investigation into AliExpress began in November 2023 after illegal products, including counterfeit medicines, were discovered on the platform.

disproportionate

— AliExpressAliExpress described the EU's ruling as disproportionate.

AliExpress has expressed strong disagreement with the EU's decision, labeling it as "disproportionate." In a statement, the company indicated it is carefully reviewing the ruling and considering all available legal avenues. The EU's action follows previous findings that numerous goods sold on platforms like Wish, Shein, and AliExpress pose risks and are outright illegal. The EU Commission had previously requested a response from AliExpress, owned by the Chinese conglomerate Alibaba Group, regarding its risk assessment measures and consumer protection protocols online.

We are carefully reviewing the decision and considering all available options.

— AliExpressAliExpress issued a statement regarding its response to the EU's fine.
DistantNews Editorial

Originally published by Berlingske in Danish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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