The European Commission said Wednesday that interim findings show AliExpress failed to prevent the sale of illegal products, putting the platform’s future in EU countries at risk if the Chinese retailer does not comply with the required measures.
The European Commission noted that while AliExpress, the Chinese e-commerce platform owned by Alibaba, had taken some steps to improve safety, it still fell short of complying with several key obligations under the Digital Services Act (DSA). These obligations apply to “very large online platforms”—those with more than 45 million monthly users in the EU—and are designed to limit the spread of illegal goods and content online.
According to the commission, AliExpress failed to conduct adequate risk assessments and did not take sufficient measures to mitigate dangers associated with the distribution of illegal items. It pointed out “systemic failures” in the platform’s moderation systems, which left it vulnerable to manipulation by bad actors.
The findings also indicated that AliExpress had not properly enforced its penalty policy against traders who repeatedly post illegal content. This lack of enforcement, combined with underestimations in its own risk evaluations, places the company in potential breach of the DSA’s risk management and user protection provisions.
The investigation was prompted by concerns over several issues, including the alleged sale of counterfeit medicines, insufficient safeguards to prevent minors from accessing pornographic material, and the use of affiliate influencers to promote illegal products. The commission also criticized the platform for limited access to internal data for researchers and regulators.
In response to the regulatory scrutiny, AliExpress has taken legally binding steps aimed at resolving some of the Commission’s concerns. These include improvements to systems that detect illegal content, particularly illicit pharmaceuticals and adult material circulated via concealed links or affiliate networks. The company also enhanced procedures for flagging problematic content, handling internal complaints, and ensuring transparency in advertising and trader identity.
Nevertheless, the platform remains under investigation and retains the right to respond to the preliminary findings in writing. Should the commission confirm non-compliance, AliExpress could face a fine of up to 6% of its global annual revenue—a significant financial penalty.
This development forms part of a wider EU effort to assert regulatory control over major tech firms through the DSA and its counterpart, the Digital Markets Act. Together, these laws aim to reshape how large digital platforms operate in Europe by imposing stricter obligations and offering authorities broader oversight powers.
The final decision on potential sanctions against AliExpress will depend on the company’s response and the commission’s conclusive assessment.