March 23 (Reuters) - Chinese online shopping site AliExpress said on Monday it was improving controls to comply with European Union regulations as European lawmakers grilled executives over sales of
AliExpress Vows Stronger EU Law Compliance as Lawmakers Tighten Oversight
AliExpress Faces Increased Scrutiny and Regulatory Pressure in the EU
AliExpress Responds to EU Regulatory Demands
March 23 (Reuters) - Chinese online shopping site AliExpress said on Monday it was improving controls to comply with European Union regulations as European lawmakers grilled executives over sales of dangerous and counterfeit products in the bloc.
EU Targets Fast-Growing Online Platforms
The EU has ramped up scrutiny of fast-growing online platforms like AliExpress, Temu, and Shein which ship cheap products made in China into the bloc duty-free thanks to a waiver on low-value ecommerce parcels. Last month the EU opened a formal investigation into Shein under the Digital Services Act, its landmark regulation covering major platforms.
AliExpress Under Investigation and Commits to Change
Alibaba-owned AliExpress, the company's platform selling in more than 200 countries, has been under investigation by the European Commission since March 2024 and in June agreed to legally binding commitments to improve its controls.
Controversies and Platform Reforms
Childlike Sex Dolls Incident and Seller Ban
But in November, Reuters found childlike sex dolls for sale on AliExpress, leading the platform to say it had banned the China-based seller of the products.
Commitments to Product Visibility and Seller Compliance
AliExpress has committed to limiting visibility by default for products intended for adults, Eric Pelletier, Alibaba's head of international government affairs, told lawmakers.
"At the same time we recognise we have much more work to do," Pelletier said. "We are actively engaging with the Commission to address the outstanding issues, including preventing the reappearance of illegal listings, strengthening penalties and accelerating the closure of noncompliant sellers."
Lawmakers' Concerns and Future Regulatory Actions
EU Lawmakers Demand Impactful Changes
Christel Schaldemose, an EU lawmaker and lead rapporteur on the DSA, said: "I will not be happy and I don't believe in your systems until the day I see it has an impact."
"My main concern is of course safety, but I also think that it is an unfair competition towards the companies who are complying with the rules we have in EU," said Schaldemose.
EU Plans to Level the Playing Field for Retailers
The number of low-value ecommerce parcels entering the EU jumped 26% last year, hitting 5.8 billion. The bloc plans to implement fees on the shipments in an effort to make competition with domestic retailers more fair.
(Reporting by Helen Reid; Editing by Cynthia Osterman)
