AliExpress Hit With $629M EU Fine Over Counterfeit Goods

The European Commission imposed the fine on July 20, 2026, after an investigation found that AliExpress had failed to adequately address the sale of counterfeit products on its platform. The penalty is the first of its kind under the Digital Services Act, which requires large online platforms to take proactive measures against illegal content and goods.

According to the Commission, AliExpress did not comply with its obligation to conduct risk assessments and put in place effective mitigation measures. The investigation identified gaps in the platform's notice-and-action procedures, which allowed counterfeit items to remain available to EU consumers for extended periods.

The fine amounts to 6% of AliExpress's global annual turnover, the maximum allowed under the DSA. The Commission also ordered the company to implement corrective measures within six months, including enhancing its automated screening tools and cooperating more closely with brand owners and national authorities.

AliExpress, a subsidiary of the Chinese tech giant Alibaba, has said it will appeal the decision. The company maintains that it has invested heavily in anti-counterfeiting technology and has cooperated with EU regulators throughout the investigation.

The ruling sends a clear signal to other platforms that the EU is prepared to enforce its digital rules strictly. The Commission has several other ongoing investigations into major tech companies under the DSA, and this fine sets a precedent for future enforcement actions.