AliExpress Fined €550 Million Under EU Digital Services Act for Illegal Product Failures
AliExpress has been hit with a €550 million (approximately $629 million) fine by the European Commission for violating Europe's Digital Services Act (DSA). The penalty is more than double the amount that competitor Temu received for similar violations.
The Commission found that AliExpress failed to take effective measures to prevent illegal products from appearing on its platform. Investigators determined that the company "allocated insufficient staff" to verify products, and that unsafe items—including dangerous cosmetics and toys—remained on the marketplace for "multiple weeks" after they were detected.
The DSA, which came into full effect last year, requires large online platforms to implement robust systems for identifying and removing illegal content and products. The enforcement action against AliExpress signals the European Union's commitment to holding major e-commerce operators accountable for the safety of goods sold through their platforms.
The fine represents one of the largest penalties issued under the DSA since the regulation took effect, underscoring the regulatory risks facing global e-commerce companies operating in the European market.