BRUSSELS(National Times)- The EU on Monday slapped a 550-million-euro ($630 million) fine on online retailer AliExpress for allowing the sale of illegal products, including unsafe toys and cosmetics.

The European Union said AliExpress also did not do enough to stop the sale of counterfeit products and that when the platform detected illegal goods were on sale, many remained online for several weeks.

The EU found some of the products sold on the platform did not meet the bloc’s strict environmental and safety standards during its investigation into AliExpress launched in March 2024.

“Risks must be identified and addressed systematically to ensure consumers can safely shop online. Today, we are holding AliExpress to this standard and request it to take action,” EU tech chief Henna Virkkunen said in a statement.

It is the largest fine ever imposed under the EU’s powerful Digital Services Act (DSA), part of the bloc’s legal armoury to police big tech that entered into force in 2022. Elon Musk’s X social media platform received a 120-million-euro fine in December last year, while the EU slapped e-commerce giant Temu with a 200-million-euro fine in May.

AliExpress criticised the “disproportionate” fine, saying in an updated statement that the EU’s decision “ignores our sound risk management framework and the significant, proactive enhancements we have made”. The company added it would appeal the fine.

The EU said the amount took into consideration the nature of the violations, the impact on Europeans and the duration of the infringements. AliExpress is the biggest Chinese e-commerce platform in the EU with 193 million users, while Asian fashion giant Shein and retailer Temu respectively have 156 million and 130 million users.

The EU is AliExpress’ biggest market, a senior European official said. Under the DSA, the world’s most popular digital platforms including social media networks and online retailers must evaluate what risks they pose and take measures to tackle the dangers.