The brands are said to have taken issue with the Alibaba's admission under the "general membership" category, following lengthy legal wranglings which saw the Chinese e-commerce conglomerate accused of facilitating the sale of counterfeit products on a number of its platforms, includign TaaBao, by brands such as Gucci owner Kering.
"In consideration of some of the concerns raised by our membership, Bob Barchiesi, president of IACC, has recommended and the board has agreed to suspend the recently announced general membership category to allow further discussion and consideration," the IACC board wrote in a letter to its members, reports WWD. "This will result in the suspension of the memberships of Alibaba, Wish.com and The Real Real at this time."
While the IACC stated that the suspension would not affect its relationship with any of the affected brands, Alibaba responded to its suspension with diplomacy, stating that it still believes that in order to address counterfeit goods effectively, a collaborative approach is required.
Whether or not we are a member of the IACC, we will continue our productive and results-oriented relationships with brandsJennifer Kuperman, of Alibaba Group
"The only way to solve the complex, industry-wide issue of counterfeiting is through strong industry collaboration and we believe that intermediaries, like Alibaba, must be an integral part of the solution," said Jennifer Kuperman, head of international corporate affairs at Alibaba Group. "Whether or not we are a member of the IACC, we will continue our productive and results-oriented relationships with brands, governments and all industry partners."