AliExpress Fined €550 Million Under EU Digital Services Act

MW Contributor · 2026-07-21T15:06:50+08:00

The European Commission has fined AliExpress €550 million for failing to properly assess and reduce risks linked to illegal, unsafe and counterfeit products sold on its platform. The Commission found that AliExpress breached the European Union’s Digital Services Act by overestimating the effectiveness of its product moderation system and failing to assign enough staff to review potentially illegal listings. AliExpress also failed to properly assess how its recommendation and advertising systems could promote illegal products. Commission testing found that some illegal products were recommended or advertised before they were removed. The platform’s detection and enforcement systems were also found to be ineffective. Counterfeit goods, unsafe toys and dangerous cosmetics remained online, sometimes for several weeks. Sellers who breached platform rules were also able to remain active. The Commission said product checks could be bypassed by listing items under the wrong category. AliExpress also failed to adequately prevent counterfeit sales because its brand authorisation system was understaffed and easy to bypass. The fine was based on the seriousness and duration of the breaches, which continued at least until June 2025. The Commission also considered the Digital Services Act’s relatively recent introduction when deciding the amount. AliExpress must submit an action plan by 20 October 2026 explaining how it will correct the failures. Further penalty payments may be imposed if the company does not comply.

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July 21, 2026 at 3:06 pm
MW Contributor
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The European Commission has fined AliExpress €550 million for failing to properly assess and reduce risks linked to illegal, unsafe and counterfeit products sold on its platform.
The Commission found that AliExpress breached the European Union’s Digital Services Act by overestimating the effectiveness of its product moderation system and failing to assign enough staff to review potentially illegal listings.
AliExpress also failed to properly assess how its recommendation and advertising systems could promote illegal products. Commission testing found that some illegal products were recommended or advertised before they were removed.
The platform’s detection and enforcement systems were also found to be ineffective. Counterfeit goods, unsafe toys and dangerous cosmetics remained online, sometimes for several weeks. Sellers who breached platform rules were also able to remain active.
The Commission said product checks could be bypassed by listing items under the wrong category. AliExpress also failed to adequately prevent counterfeit sales because its brand authorisation system was understaffed and easy to bypass.
The fine was based on the seriousness and duration of the breaches, which continued at least until June 2025. The Commission also considered the Digital Services Act’s relatively recent introduction when deciding the amount.
AliExpress must submit an action plan by 20 October 2026 explaining how it will correct the failures. Further penalty payments may be imposed if the company does not comply.
https://ec.europa.eu/commission/presscorner/detail/en/ip_26_1654
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