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.

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.

Alibaba ( BABA )-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.

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.

AliExpress has committed to limiting visibility by default

for products intended for adults, Eric Pelletier, Alibaba's ( BABA ) 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."

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.

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.