EU Fines AliExpress €550 Million for DSA Risk Management Failures

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The European Commission has fined AliExpress €550 million for breaching the EU's Digital Services Act, specifically over failures to properly assess and mitigate risks from illegal, unsafe, and counterfeit products on its marketplace. The Digital Services Act requires online platforms to provide accessible reporting tools for users to flag suspected illegal content or goods, and to maintain internal systems capable of acting on those reports. The Commission confirmed it is continuing oversight of AliExpress and seeking corrective action beyond the financial penalty. The case highlights that DSA compliance extends beyond adding a reporting button, requiring platforms to log, review, and respond to notices through a structured governance process. The fine signals that the EU is actively enforcing DSA obligations against major marketplaces and is prepared to impose significant financial consequences for systemic shortcomings.

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