Brussels fined AliExpress €550 million for multiple breaches of the Digital Services Act

The European Commission has imposed a fine of 550 million euros on Chinese e-commerce platform AliExpress for multiple violations of the Digital Services Act. The decision was announced on July 20, 2026, with AliExpress given until October 20, 2026, to submit a plan outlining measures to address the breaches. According to the commission, the company failed to adequately assess risks related to the spread of illegal, harmful, or counterfeit goods through its online marketplace. The Digital Services Act requires platforms to conduct thorough risk assessments and implement effective measures to prevent the proliferation of illicit products. In its findings, the commission stated that AliExpress did not properly evaluate whether it had sufficient staff to review potential illegal items. It also noted that quantitative indicators were missing during risk assessments for the appearance of such goods in the marketplace. Furthermore, the commission found that AliExpress inadequately assessed how its recommendation and advertising systems contributed to the spread of illegal goods. Testing conducted by the commission revealed that numerous illegal items were recommended or advertised to consumers before they were actually removed. This suggests that the platform’s mechanisms for identifying and removing prohibited products were insufficient. In addition, the commission concluded that AliExpress did not take adequate steps to reduce the risk of spreading illegal goods. Its system for detecting illegal products was not functioning correctly, leading to a large number of such items circulating on the platform. These included counterfeits, dangerous toys, and cosmetic products that remained available online for weeks even after being identified. AliExpress also failed to properly enforce its policies against sellers who sold illegal goods. Despite penalties, these sellers could continue operating on the platform. The commission pointed out that product verification on AliExpress was easily circumvented through incorrect categorization of items. Additionally, the platform was ineffective in preventing the spread of counterfeit goods. Based on these findings, the European Commission has imposed the 550 million euro fine. The decision took into account the nature of the violations, their impact on users in the EU, and their duration, which extended at least until June 2025. AliExpress has criticized the fine, calling it “unreasonable.” The company expressed disagreement with the decision, stating that it does not reflect the appropriate framework or proactive improvements they have implemented. AliExpress is currently reviewing the commission’s decision and considering all available options. The company has indicated that it will provide detailed feedback and explore all possible avenues for resolution. The European Commission will issue its assessment within two months and determine a reasonable timeframe for implementing the proposed action plan.