China Daily (Hong Kong)

Taobao defended

Alibaba ‘very disappoint­ed’ by US trade label >

- By HE WEI in Shanghai hewei@chinadaily.com.cn

E-commerce giant Alibaba Group Holding Ltd has hit out at a US decision to label it a haven for counterfei­ts, indicating that the move may have been politicall­y motivated.

The world’s top online retailer said on Thursday it was “very disappoint­ed” by the decision to be restored to the list of “Notorious Markets”, after the US Office of the Trade Representa­tive cited a high level of alleged piracy and counterfei­ting.

“We are very disappoint­ed by the USTR’s decision to include Taobao on its ‘Notorious Markets’ list, which ignores the real work Alibaba has done against counter- feits,” Alibaba President Michael Evans said.

In 2016 alone, Taobao, the customer-to-customer platform, has removed more than double the number of infringing product listings than it did in 2015, Evans said.

“Our results speak for themselves. Unfortunat­ely, the USTR’s decision leads us to question whether it acted based on the actual facts or was influenced by the current political climate,” Evans said.

Alibaba said in a statement that the list will not dampen its fight against the fake.

Chinese Foreign Ministry spokeswoma­n Hua Chunying said: “The two countries should provide a fair and impartial trade environmen­t for the activities of each other’s companies.”

The “Notorious Markets” list is under the auspices of the annual Special 301 process where Washington identifies trade barriers due to infringeme­nts of intellectu­al property rights, according to Catter Hu, a partner at Shanghai Jiehua Law Firm.

“While the report mainly targets companies and does not necessaril­y reflect Washington’s view on respective countries, it’s likely to dampen Alibaba’s reputation in the US, where it has been trying to build up ties with retailers,” Hu said.

However, this year’s review also included a call for the Chinese government to take stronger measures on IPR reforms, a clear sign that political considerat­ions are getting in the way of business, said Zhao Ping, deputy director of the Chinese Academy of Internatio­nal Trade and Economic Cooperatio­n under the Ministry of Commerce.

Despite all of its efforts, the company finds itself listed along with 10 other Chinese websites and bricks-andmortar markets in the list, dealing a further blow to its overseas expansion, according to Yang Yaqiong, a senior analyst at Beijing-based Analysys.

“It’s more politics than anything else. If you read through the report, you see a rather negative tone toward the Chinese market at large,” said Yang.

... it’s likely to dampen Alibaba’s reputation in the US ...” Catter Hu, partner of Shanghai Jiehua Law Firm

Wang Qingyun in Beijing contribute­d to this story.

 ?? XU KANGPING / FOR CHINA DAILY ?? A woman tries an Alibaba VR device during a shopping spree in Shenzhen, Guangdong province.
XU KANGPING / FOR CHINA DAILY A woman tries an Alibaba VR device during a shopping spree in Shenzhen, Guangdong province.

Newspapers in English

Newspapers from China