عربي English Türkçe اردو فارسى
Logo
Latest News
Business

AliExpress Hit with $629 Million EU Fine Over Sales of Illegal, Counterfeit Products

The logo of AliExpress is pictured at AliExpress store, in Granada, Spain, July 22, 2024. (Reuters)
The logo of AliExpress is pictured at AliExpress store, in Granada, Spain, July 22, 2024. (Reuters)
TT
TT

AliExpress Hit with $629 Million EU Fine Over Sales of Illegal, Counterfeit Products

The logo of AliExpress is pictured at AliExpress store, in Granada, Spain, July 22, 2024. (Reuters)
The logo of AliExpress is pictured at AliExpress store, in Granada, Spain, July 22, 2024. (Reuters)

Alibaba's AliExpress was hit with a record €550 million ($629 million) fine from the European Union on Monday for failing to tackle sales of illegal, unsafe and counterfeit products on its platform.

The fine was the third issued by the European Commission under the EU's landmark Digital Services Act, which requires very large online platforms to do more to counter illegal and harmful content.

The Commission charged AliExpress in June last year with failing to comply with a key DSA requirement to assess and mitigate the risks of dissemination ‌of illegal products.

It ‌set an October 20 deadline for AliExpress to propose remedial ‌measures, ⁠and the company ⁠could face further penalties if the regulator decides in December that they do not comply with the DSA.

"This is very dangerous for consumers, unfair for companies which are complying with all our rules," EU tech chief Henna Virkkunen told reporters. She pointed to AliExpress' 193 million users in Europe last year versus Shein's 156 million and Temu's 130 million. Temu has also been fined under the DSA, while Shein is facing an ongoing probe.

"One in five ⁠Europeans say they shop once a month from Shein, Temu and ‌AliExpress," Virkkunen said.

Alibaba did not immediately respond ‌to requests for comment

The Commission said ‌AliExpress had not properly evaluated whether it had enough people to review the ‌risks and had overestimated the effectiveness of its system in detecting and removing illegal products.

The regulator criticized AliExpress' recommender and advertising systems for exacerbating the spread of illegal products and its reliance on one quantitative indicator to measure its moderation system to prevent the risk of illegal products appearing or ‌reappearing in similar forms.

It said AliExpress' failure to detect illegal products meant many illegal products ranging from counterfeit products to unsafe ⁠toys and dangerous ⁠cosmetics remained online for many weeks.

The Commission also took issue with the company's ineffective penalty policy, which resulted in penalized companies continuing to sell illegal products on its platform.

It said AliExpress' mandatory "brand authorization" system – intended to prevent counterfeit sales – was ineffective and understaffed and was easily circumvented by traders selling fake products.

The regulator said the novelty of the Digital Services Act was a mitigating factor in calculating AliExpress' fine, which could have been higher.

The penalty is significantly higher than the €120 million handed out to Elon Musk's social media platform X in December last year and the €200 million meted out to Temu in May this year, both for DSA violations.

AliExpress dodged a fine, which could be as much as 6% of its global annual turnover, in June last year after agreeing to measures to tackle the dissemination of potentially illegal and pornographic materials on its platform.

Most Viewed

 
 
Business

Trump Pauses 50% Tariffs on Canadian Goods for Three Days

This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)
This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)
TT
TT

Trump Pauses 50% Tariffs on Canadian Goods for Three Days

This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)
This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)

US President Donald Trump paused the planned rollout of punishing new tariffs on Canadian goods late Tuesday, as both sides indicated they were close to a broader trade agreement after weeks of talks.

Trump announced the three-day reprieve from 50-percent duties on select goods just hours before a midnight deadline.

The delay was "based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!" Trump wrote on his Truth Social platform.

Canadian Prime Minister Mark Carney was less definitive, saying "substantial progress has been made" towards a comprehensive trade deal, but "there is important work still to be done."

Ottawa and Washington have held intense negotiations on revising their existing deal, the United States-Canada-Mexico Agreement (USMCA), which Trump signed and praised during his first term but now says needs to change.

The US Trade Representative's office said on X that the pact between Washington and Ottawa is set to "include comprehensive market access for all American goods, economic security commitments, digital trade alignment" and other provisions.

A proclamation by Trump to pause the duties added that the suspension came about as "Canada has expressed a commitment to remove the discriminations or unreasonable and unequal impositions at issue."

Carney said the prospective deal aims to "address outstanding trade issues and deliver greater certainty and real benefits for Canadian businesses, workers, farmers and families."

- 'Discriminatory treatment' -

Trump had signed orders for the 50-percent duties last month, with the White House alleging "discriminatory treatment" by Canada against US automobile and dairy products.

The new tariffs would cover products such as wine, hockey sticks and cement.

They target around 5.5 percent of Canada's exports to the United States, worth about $20 billion, Oxford Economics estimates.

While this only poses a "modest" negative risk to Canada's economy, Oxford Economics said in a recent report that the duties would "affect central Canada's manufacturing sector much more severely."

Canadian negotiators have been in Washington to push for a deal to avoid the new tariffs and also secure relief on Trump's sector-specific duties, which have battered Canada's auto, steel, lumber and aluminum industries.

Ottawa reportedly offered concessions like pressuring provinces to put some US beverages back on their shelves.

Without going into details, Trump added in his Truth Social post: "The great Keystone XL Pipeline, long ago killed by Sleepy Joe Biden, may be awoken from the grave!"

Trump has previously called for the revival of the controversial project opposed by environmental activists, which was blocked under his predecessor Biden.

- Political concerns -

"It's not unusual for a trade negotiation to go right up to the deadline," former US commerce official Christopher Padilla told AFP.

He expects that the Trump administration threatened new tariffs to try and win early concessions from Canada as the countries negotiate new terms for the USMCA.

Oxford Economics anticipates that manufacturers who stand to be most impacted include those in the cement, paper, printing, wood, clothing and electronic equipment sectors.

With the US Supreme Court striking down many of Trump's global tariffs earlier this year, the president had tapped an untested legal provision for the new duties targeting Canada.

The US duties will not apply to Canadian energy, potash or goods already facing sector-specific tariffs, but are set to hit products covered by the USMCA.

Trump's trade envoy Jamieson Greer previously said the tariffs aimed to "hold Canada accountable" for its retaliation against the United States.

Business

Oil Extends Climb on Prolonged Hormuz Export Uncertainty

An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang
An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang
TT
TT

Oil Extends Climb on Prolonged Hormuz Export Uncertainty

An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang
An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang

Oil prices climbed for a fourth straight day on Wednesday as investors weighed conflicting messages from Tehran and Washington on whether the Strait of Hormuz is open to ships.

Brent crude futures climbed 69 cents, or 0.8%, to $91.71 by 0415 GMT, while US West Texas Intermediate crude futures were up 76 cents, or 0.9%, to $85.70 a barrel, Reuters reported.

Both contracts closed on Tuesday at their highest in more than three weeks as hopes of peace between the US and Iran faded.

US President Donald Trump said on Tuesday no talks were taking place with Iran ⁠and insisted the ⁠Strait of Hormuz was open, contradicting Iran's assertion that the critical waterway remained shut to shipping.

A temporary ceasefire agreement expired on Monday and a senior Iranian official told Reuters that his country was moving to a "fully offensive" military posture due to the diplomatic stalemate, though there were no reports of fresh strikes by either side on Tuesday.

"The shipping risks are increasing again as attacks from Iran ⁠and Houthis remain prevalent in both key chokepoints, keeping oil prices supported in the near term," said June Goh, senior oil market analyst at Sparta Commodities, referring to the Strait of Hormuz and Bab el-Mandeb strait.

Shipping through Hormuz slowed, data showed on Wednesday, as most shipowners avoided the key waterway due to a lack of clear signaling on its reopening from a blockade.

"However, Gulf producers are finding alternative export routes to bring oil out to the Gulf of Oman," said Goh. "If sustainable, this could help increase shut-in production from these two producers."

To avoid the Strait of Hormuz, Iraq's cabinet approved mechanisms for exporting Iraqi ⁠crude through specialized international ⁠and local companies and via multiple export outlets, the government said on Tuesday.

The contracts under the new mechanism will run for three months starting September 1, according to a statement issued after the cabinet meeting.

In the US, crude oil and distillate inventories fell, while gasoline stocks rose last week, market sources said, citing data from the American Petroleum Institute.

Official inventory numbers from the US Energy Information Administration are due at 10:30 a.m. ET (1430 GMT), with analysts polled by Reuters expecting crude stocks fell by about 600,000 barrels in the week ended August 14.

Business

Iraq Approves Three-Month Mechanism to Export Crude via Local, International Firms

The Zubair Oil Field in Basra, Iraq, April 6, 2026. (Reuters)
The Zubair Oil Field in Basra, Iraq, April 6, 2026. (Reuters)
TT
TT

Iraq Approves Three-Month Mechanism to Export Crude via Local, International Firms

The Zubair Oil Field in Basra, Iraq, April 6, 2026. (Reuters)
The Zubair Oil Field in Basra, Iraq, April 6, 2026. (Reuters)

Iraq's cabinet approved mechanisms for exporting Iraqi crude through specialized international and local companies and via multiple export outlets, the government said on Tuesday.

The contracts under the new mechanism will run for three months starting September 1, according to a statement issued after the cabinet meeting.

Iraq ‌is seeking ‌to diversify its oil ‌export ⁠channels and maintain flexibility ⁠in marketing its crude amid the Iran war and the closure of the Strait of Hormuz, which has disrupted regional oil flows and created uncertainty around shipping routes.

Iraq ⁠has worked to develop ‌alternative export ‌routes in addition to its traditional southern terminals, ‌including routes through Türkiye and Syria, ‌as it seeks to reduce reliance on Gulf shipping routes.

Iraq is OPEC's second-largest oil producer and relies heavily on ‌crude exports for state revenue. Most of its exports are ⁠shipped ⁠from terminals in the southern Gulf, leaving the country particularly exposed to disruptions in the Strait of Hormuz.

The government did not immediately provide details on the companies to be selected, the volumes to be exported under the mechanism, or the specific export outlets covered by the contracts.