EU to challenge JD.com over state subsidies in Ceconomy takeover

The European Commission’s upcoming notice serves as a regulatory charge sheet, outlining concerns that JD.com may have utilized unfair financial backing from the Chinese government to inflate its offer for the parent company of MediaMarkt and Saturn. If the allegations hold, the e-commerce firm must propose substantial remedies or face a total veto of the deal. The Commission previously signaled that preferential financing, tax incentives, and state grants were under intense scrutiny during its investigation launched in May.

JD.com officials downplayed the development, framing the notice as a standard procedural milestone. The company maintains that its entry into the European market aligns with broader regional goals for innovation and competitiveness, anticipating a resolution by late 2026. This enforcement action arrives as the bloc intensifies its broader crackdown on Chinese retail influence, following recent adjustments to customs duties on low-value imports to combat a surge in parcel volumes that jumped from 1.4 billion in 2022 to 5.8 billion in 2025.