Under fire from US group, Alibaba says fighting counterfeit goods


  • TECH
  • Tuesday, 14 Apr 2015

PERSISTENT FAKES: Concerns over fake products on Alibaba's platforms, including online marketplace Taobao, have dogged the world's largest e-commerce firm for years.

BEIJING: Alibaba Group Holding Ltd said it had a range of measures to fight counterfeits on its websites – remarks that come after a trade group requested US government help in prodding the Chinese e-commerce giant into action against fake goods. 

Concerns over fake products on Alibaba's platforms, including online marketplace Taobao, have dogged the world's largest e-commerce firm for years, although the US trade office removed Taobao from its list of "notorious markets" in 2012 in recognition of progress made. 

In the latest flare up over the issue, the American Apparel & Footwear Association (AAFA) said in an April 8 letter to U.S. Trade Representative Michael Froman it was convinced Alibaba was either incapable or not interested in addressing the problem. 

The association added that since Taobao had been delisted as a notorious market, the problem had worsened and urged the USTR to send a clear signal that Taobao would be relisted unless more action was taken. 

In response, Alibaba said that its measures to tackle counterfeits included data mining, working with Chinese authorities and cooperating with over 1,000 brand owners and several industry associations. 

Alibaba added it had been talking with AAFA since 2012 over how best to tackle counterfeits and was committed to continuing to do so. 

Prior to the AAFA letter, the USTR said last month it was keeping an eye on Alibaba for sales of counterfeit and pirated goods, but refrained from putting the site back on the piracy blacklist. 

Hangzhou-based Alibaba has also caught regulators' attention in China. Last month, the country's commercial regulator said in response to a question about fakes on Alibaba's websites that the government must establish a system to record and restrict e-commerce firms that break rules on counterfeit goods. 

Alibaba has seen its shares slide 19% for the year to date, with analysts citing concerns about counterfeits as one reason, along with lacklustre third-quarter earnings and investor excitement wearing off after the firm's record-setting US$25bil (RM92.58bil) IPO last September. – Reuters

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
   

Did you find this article insightful?

Yes
No

Next In Tech News

SoftBank Group, Hughes invest in British satellite communications firm OneWeb
BMW aims to double fully-electric vehicle sales in 2021
Messaging app Signal experiencing technical difficulties
With pandemic raging, Spain's real estate firms head online
Tesla asks U.S. safety agency to declare speed display issue inconsequential
Poland targets big tech with anti-censorship law
Turkey mobile operators team up on messaging in snub to WhatsApp
Amazon keeps buying pricey jets after promising a drone fleet
Zapping Covid: Tech sector takes aim at virus with new gadgetry at CES 2021
Investors push for social media controls ahead of U.S. inauguration

Stories You'll Enjoy