The European Commission has paved the way for a potential hefty fine against Chinese online retailer AliExpress, citing insufficient efforts to curb the sale of illegal products on its platform, which breaches the European Digital Services Act (DSA).
Last year, the Commission initiated proceedings against AliExpress, requesting information on the measures the company is implementing to prevent the online distribution of illegal products, such as counterfeit medicines and dietary supplements.
Under the DSA, platforms like AliExpress are required to combat the sale of counterfeit goods or products that do not meet EU safety standards.
The Commission believes AliExpress still falls short in these efforts. Notably, the platform has yet to introduce a "penalty policy" for sellers who repeatedly offer illegal products online.
While no fine has been imposed yet, AliExpress has the opportunity to defend itself and respond in writing to the Commission’s findings. It remains to be seen whether this response will persuade the Commission not to issue a substantial fine.
