Beware when buying goods online in China

SHANGHAI: More than 40% of goods sold online in China last year were either counterfeits or of bad quality, the official Xinhua news agency said, illustrating the extent of a problem that has bogged down the fastgrowing online sector.

According to the report, which was delivered to China’s top lawmakers on Monday, just under 59% of items sold online last year were “genuine or of good quality”, Xinhua said.

China has been trying to shake off a notoriety for pirated and counterfeit goods, long a major headache for global brands targeting the Chinese market from iPhone maker Apple Inc to luxury retailer LVMH.

Chinese e-commerce giant Alibaba Group Holding Ltd has been lobbying to stay off a US blacklist for fakes after coming under renewed pressure this year over suspected counterfeits sold on its shopping platforms.

The report called for “accelerated legislation in e-commerce, improved supervision and clarification of consumers’ rights and sellers’ responsibilities”. It added these were needed due to the rapid emergence of online sales, which grew 40% last year to 2.8 trillion yuan (RM1.9 trillion).

China wants to boost protection for consumers online, where there is still a lot of uncertainty about how consumers can claim compensation or hold online vendors to account. The report added customer complaints about online orders hit 77,800 last year, a steep jump of 356.6% against 2013. – Reuters