China has imposed heavy fines on seven major e-commerce platforms, totaling $526 million, over violations linked to “ghost shops” and food safety issues.
The penalties were announced by the State Administration for Market Regulation, which also seized what it described as illegal earnings from these companies.
Among those fined are major platforms such as PDD Holdings, Meituan, JD.com, Douyin, Taobao, and Tmall.
Authorities said these platforms were involved in “ghost delivery” practices—where unverified or fake vendors operate online—and in violations of food safety rules. Regulators ordered companies to remove such listings and cut ties with services enabling these operations.
Additionally, the government has temporarily suspended new food vendor registrations in high-risk categories like desserts and takeaway services for up to nine months.
The crackdown signals a stricter approach by Chinese regulators to ensure consumer safety and improve transparency in the fast-growing online food delivery market.
Source: Newstimehub
