The European Commission has fined AliExpress €550 million — the largest ever penalty under the Digital Services Act — for failing to adequately prevent illegal and counterfeit products from being sold on its platform. The Commission found multiple failings, including ineffective illegal product detection, poor enforcement of trader penalties, and inadequate assessment of how its recommendation systems spread dodgy goods. The fine, significantly below the maximum possible penalty of nearly $9 billion, is part of broader European efforts to regulate cheap Chinese e-commerce platforms alongside newly introduced customs fees targeting low-cost imports.
