The Fair Trade Commission (FTC) has imposed fines totaling 2.1 billion won ($1.5 million) on AliExpress Korea and its affiliated partners for violations of the Fair Labeling and Advertising Act and the Electronic Commerce Act. The sanctions follow an investigation that revealed deceptive pricing practices on the platform, aimed at misleading consumers with false discount claims.
According to the FTC, two AliExpress affiliates — Ocean Sky and MICTW — engaged in deceptive advertising between May 2023 and October 2024 by presenting inflated reference prices and claiming significant discounts that were never actually offered. For example, a tablet PC was advertised with a fixed price of 660,000 won and promoted with a 58 percent discount, despite the fact that the product had never been sold at the listed price.
During the investigation, the FTC found that over 7,000 products were sold under this misleading pricing strategy. The watchdog concluded that such practices distorted consumer decision-making and undermined fair competition in the e-commerce market.
As a result, MICTW was fined 2 billion ($1.46 million) won and Ocean Sky 90 million won ($66,000), with both companies also ordered to correct their practices. Additionally, AliExpress Korea itself was fined 2 million won ($1,500) for failing to properly verify the identities of sellers in its “K-venue” section, a marketplace dedicated to Korean products for global customers.
An FTC spokesperson emphasized the regulator’s determination to curb unfair practices on online platforms, stating:
“We will sternly sanction any undue sales practices that block customers from making reasonable choices when they use online platforms.”
The Commission also highlighted its broader commitment to ensuring that overseas e-commerce platforms comply with Korean law, stressing the importance of creating a level playing field for domestic and foreign operators and fostering a trustworthy digital marketplace.
In response, AliExpress Korea issued a statement acknowledging the FTC’s findings, while underscoring that it had already taken corrective measures:
“All corrective measures related to the issues identified during the investigation have been fully implemented and have received official recognition from the FTC. We will continue to prioritize consumer experience and trust as our core focus, continuously enhance our service capabilities and create more business opportunities for local SMEs.”
The case is one of the latest examples of Korea’s tighter regulatory oversight of global e-commerce platforms, as authorities move to protect consumer rights and ensure transparency in digital transactions.