09:11 AM EDT, 03/14/2024 (MT Newswires) -- (Updates with AliExpress response in the last paragraph.)

Alibaba Group Holding's ( BABA ) online retail service AliExpress is being investigated by the European Commission to determine whether it may have breached the Digital Services Act, the Commission said Thursday.

The Commission said the probe will cover areas linked to the management and mitigation of risks, content moderation and the internal complaint handling mechanism, transparency of advertising and recommender systems, traceability of traders, and data access for researchers.

AliExpress was designated as a Very Large Online Platform under the DSA, according to the Commission.

"We respect all applicable rules and regulations in the markets where we operate," AliExpress said in an emailed statement. "As a VLOP, we have been working with, and will continue to work with, the relevant authorities on making sure we comply with applicable standards and will continue to ensure that we will be able to meet the requirements of the DSA. AliExpress is committed to creating a safe and compliant marketplace for all consumers."

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