- AliExpress was fined a record €550 million ($629 million) by the European Commission for failing to prevent the sale of counterfeit and harmful products on its platform.
- The investigation found millions of counterfeit, unsafe toys, and dangerous cosmetics being sold, even after being flagged, due to insufficient staff and inadequate product screening.
- The fine is the largest under the Digital Services Act (DSA), which mandates that large platforms police illegal and unsafe products to protect consumers and ensure fair competition.
- AliExpress criticized the fine as disproportionate and stated it is reviewing the decision and considering its options, while not confirming an appeal.
- The EC emphasized that scale is not an excuse, and platforms must systematically identify and address risks to ensure safe online shopping.
- This follows a similar fine against Temu in May, and EU reports show high non-compliance rates for products like cosmetics and supplements on major platforms.