Ministry intervenes in Taobao controversy

Authorities seek to diffuse anger of small vendors over fee increases

BEIJING / SHANGHAI - The Ministry of Commerce intervened on Saturday in a bitter dispute between Taobao Mall, China's top online retail platform, and small business owners sparked by a massive hike in membership fees.

Taobao Mall announced last week a minimum five-fold, and a potential ten-fold, increase in membership fees. This ignited an immediate protest by the owners of small businesses who disrupted online services by placing orders and then canceling them after leaving disparaging remarks.