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The EU has accused the Chinese online market Aliexpress of violating the block’s digital rules as Brussels continues its efforts to utilize landmark laws for its internet business.
In a preliminary finding issued Wednesday, regulators said they were concerned about the lack of effective measures from Aliexpress to prevent the spread of illegal content such as counterfeit and unsafe products.
Brussels also accused the company of failing to properly enforce its penalty policy on traders who repeatedly post illegal content.
The decision comes as the block is cracking down on online Chinese retailers, particularly when it comes to low-cost imports. Of the 10 packages imported to the EU, more than nine come from China.
Brussels has already proposed a fee of 2 euros for a small package entering the EU. Brussels has also launched an investigation into the Scene, an Asian e-commerce platform that relies on China’s supply chain, amid concerns that the company is violating European consumer protection regulations.
Digital services force large online platforms to more aggressively police due to additional obligations to many major technology groups, including Instagram, Google and Tiktok.
Under groundbreaking laws, companies that do not curb illegal content and misinformation face penalties of up to 6% of their annual global sales.
“We believe that by continuing our interaction with the Commission (European) to address the remaining concerns regarding the DSA, we will achieve positive and compliant results,” Aliexpress said. It added, “We are committed to providing a safe and compliant market for consumers in Europe and around the world, and we are committed to respecting applicable rules and regulations in the markets in which we operate.”
Another part of the Aliexpress investigation, launched last year, was closed by the committee as the platform submitted a specific commitment. For example, it is a searchable and reliable repository of advertising systems, data access for researchers, and ads.
These commitments were welcomed by the EU’s high-tech chief Hennavilkunen. “We were able to take concrete steps to ensure a high level of safety for EU citizens while maintaining a level playing field for EU market platforms and traders,” she said.
The committee is also investigating the Chinese online market Temu on concerns that it is not sufficient to limit the sale of non-compliant products in the EU and prevent the risk of reliance on the platform through its design.