EU Fines AliExpress €550 Million
The European Commission has imposed a record €550 million penalty, equivalent to about $629 million, on Alibaba-owned AliExpress for failing to adequately address the sale of illegal, unsafe and counterfeit products. It is the largest fine issued under the European Union’s Digital Services Act.
EU Fines AliExpress €550 Million
The penalty followed an investigation launched in March 2024 into AliExpress’s compliance with rules governing very large online platforms. Regulators concluded that the marketplace had not properly assessed or reduced risks connected with illegal products.
The Commission said counterfeit clothing, unsafe toys and dangerous cosmetics remained available on the platform, sometimes for several weeks after being detected. AliExpress reportedly had 193 million users across the European Union in 2025.
Illegal Products Remained Online
Regulators identified weaknesses in AliExpress’s product-monitoring and brand-authorisation systems. Sellers could allegedly bypass checks by placing goods in incorrectly labelled categories with less stringent requirements.
The Commission also found that AliExpress employed insufficient staff to review the volume of listed products and failed to effectively penalise repeat offenders. Some stores were reportedly allowed to continue operating after being sanctioned for offering illegal goods.
Advertising and recommendation systems were also accused of promoting unsafe or counterfeit products before their removal.
AliExpress Disputes EU Penalty
AliExpress rejected the size of the fine as disproportionate, arguing that it had invested substantial resources in product safety, consumer protection and risk-management systems. The company said it was reviewing the decision and considering its available options.
The platform must submit a corrective action plan by October 20, 2026. The Commission will assess whether the proposed measures adequately address the identified failures.
Further financial penalties could be imposed if AliExpress does not comply. The action reflects increasing European scrutiny of major online marketplaces over consumer safety and illegal product listings.
