The European Union has imposed a record €550 million ($629 million) fine on AliExpress after concluding that the online marketplace failed to do enough to stop the sale of illegal, unsafe, and counterfeit products.
The penalty is the largest ever issued under the EU’s Digital Services Act (DSA), marking another major enforcement action against large online shopping platforms.
According to the European Commission, its investigation found that AliExpress did not properly assess or reduce the risks associated with illegal products being sold through its platform. Officials said the company lacked enough staff to review suspicious listings, overestimated the effectiveness of its systems for detecting harmful products, and failed to remove many dangerous items quickly. Counterfeit goods, unsafe toys, hazardous cosmetics, and other illegal products were reportedly able to remain available for weeks after being flagged.
The Commission also said AliExpress failed to adequately examine how its recommendation and advertising systems contributed to promoting illegal products. Investigators found that the platform’s moderation processes were insufficient and that some sellers were able to continue operating even after violating the platform’s rules.
Henna Virkkunen, the European Commission’s Executive Vice-President for Tech Sovereignty, Security and Democracy, said consumers should not have to accept counterfeit clothing, unsafe toys, dangerous cosmetics, and other harmful products as a normal part of online shopping. She said the responsibility lies with platforms to identify and reduce these risks under the Digital Services Act.
AliExpress said it disagrees with the decision and described the fine as disproportionate. The company said it has already introduced significant improvements to strengthen its risk management systems and remains committed to complying with European regulations.
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The European Commission has ordered AliExpress to fully comply with the Digital Services Act by October 20, 2026. If the company fails to meet the required obligations, it could face additional financial penalties. The action comes as the EU continues increasing scrutiny of major online marketplaces, following similar enforcement measures against other large e-commerce platforms.
