House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Innovation, Data, and Commerce Subcommittee Chair Gus Bilirakis (R-FL) have raised concerns over data privacy and security risks, counterfeit products, and human rights abuses on China-based e-commerce marketplaces. These marketplaces, including TikTok, TaoBao, Pinduoduo, Temu, Alibaba, AliExpress, and Shein, have gained popularity in the U.S.
The Chinese Communist Party (CCP) mandates that all Chinese tech companies grant access to user information, which raises serious concerns about data privacy and security for American users. In addition, these platforms often offer knock-off versions of products, undermining intellectual property laws. There are also allegations of human rights violations, including forced labor and the sale of products made from the hair of Uyghur women who were forced to shave their heads.
In a letter addressed to the China-based e-commerce companies, the Chairs expressed their concerns regarding the business practices of these companies. They highlighted the risks faced by American users due to lax policies and practices, including the theft of personal data and the purchase of counterfeit goods. The Chairs also emphasized the importance of ensuring that supply chains are free of forced labor.
The letter includes a series of questions that the companies are requested to respond to by January 12, 2024. These questions address various aspects of data privacy, including the deletion of personal data upon request, protections against children spending large sums of money on the platforms, data practices required of third parties and service providers, and the collection of sensitive information such as religious beliefs, political opinions, genetic data, and health information.
The Chairs also inquire about the companies' interactions with the Chinese government and the CCP, asking for documentation of meetings and communications. They further request information about the software bill of materials for mobile applications, the storage and access management of signing keys, and the frequency and standards of security testing. The companies are also asked about their compliance with the INFORM Consumers Act and their stance on the Uyghur genocide in the Xinjiang region.
The letters were sent to TikTok, Whaleco Inc., Alibaba, and Shein, urging these companies to provide detailed responses to the questions posed. The Committee is seeking transparency and accountability from these China-based marketplaces to ensure the protection of data privacy and human rights.
The concerns raised by Chairs Rodgers and Bilirakis reflect the growing scrutiny surrounding the operations of China-based e-commerce companies. The Committee's efforts to hold these companies accountable for their practices and protect American users from potential risks are crucial in the evolving digital landscape.
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