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Record €550M fine for AliExpress by the EU

LaRedaction Posted messages 887 Registration date   Status Administrator Last intervention   -  
brucine Posted messages 25296 Registration date   Status Member Last intervention   -
AliExpress - CCM
AliExpress received a €550 million fine from the European Commission for the sale of illegal and dangerous products, the harshest ever imposed under the Digital Services Act (DSA). The two-year investigation revealed weaknesses in AliExpress’s control systems, including the distribution of products not compliant with the law. The fine fits into the EU’s broader strategy to regulate e-commerce imports from Asia. On this complex topic, what are your personal views or experiences as consumers or professionals?
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  1. PoussinGracile
     

    LOL, it’s the benefit realized by AliExpress in a few hours within the EU.

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    1. brucine Posted messages 25296 Registration date   Status Member Last intervention   4 193
       
      It’s a bit rushed. The fine is, in principle, based on the company’s global revenue for the period in question. The EU would have been lenient at 0.45% of that revenue, whereas the cap is 6%, because the applicable DSA rules would be “recent” (in other words, Aliexpress was allowed to sell dangerous or counterfeit products before). This allows us to reconstruct an annual revenue of 111 billion euros and, if I’m counting roughly, “only” about 300 million euros per day worldwide. Even if the company’s gross profit were 50%, which would be perfectly indecent (but the more you sell crap, the more you can charge for it), that would be, on a global scale, 150 million per day. That said, and even if it would be healthier to ban the filth in question than to fine it, the effect is probably not so nil because the Chinese government, which everyone knows the kleptocrats are closely linked to its leaders, has protested vehemently.
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