The AliExpress €550 million fine marks the largest penalty imposed under the European Union’s Digital Services Act (DSA). On Monday, the European Commission announced that Alibaba-owned AliExpress had been fined €550 million for failing to prevent the sale of illegal and unsafe products on its online marketplace.
European Commission Executive Vice President for Tech Sovereignty, Security and Democracy, Henna Virkkunen, said investigators found counterfeit goods, unsafe toys, and dangerous cosmetics remained available on the platform for extended periods. She added that some products continued to be promoted through recommendations and advertisements even after they had been identified as non-compliant with EU safety standards.
The Commission concluded that AliExpress failed to adequately assess and reduce the risks associated with illegal products. According to EU officials, the platform did not ensure it had enough staff to review suspicious listings, leaving moderators with only seconds to assess potentially unlawful products. Regulators also said the company’s recommendation and advertising systems contributed to the spread of prohibited items.
The investigation into AliExpress began in March 2024 following concerns over compliance with the Digital Services Act. While some issues were resolved through commitments made by the company in 2025, the Commission determined that several serious violations continued until at least June 2025.
The European Commission has ordered AliExpress to submit an action plan by October 20 outlining how it will address the identified shortcomings. Failure to comply with the requirements could expose the company to additional financial penalties and further regulatory action under EU law.
AliExpress rejected the decision, describing the fine as disproportionate. In a statement, the company said it remains committed to meeting its legal obligations and has invested significant resources in product safety, consumer protection, and risk management. It also confirmed that it is reviewing the ruling and considering its legal options.
The AliExpress €550 million fine is the third major enforcement action under the Digital Services Act. It follows the European Commission’s broader effort to strengthen consumer protection, improve online platform accountability, and reduce the availability of counterfeit and unsafe products across the European Union.
