The South Korean Personal Information Protection Commission announced on May 15 that the Chinese cross-border e-commerce platform Temu had illegally transferred personal data of South Korean users to China and other countries, in violation of personal data protection laws, and was fined nearly $1 million.
Chinese cross-border e-commerce platforms Shein, Temu, and AliExpress under Alibaba have rapidly gained popularity worldwide in recent years, challenging the position of the American e-commerce giant Amazon with a wide range of products and ultra-low prices.
According to the South Korean Personal Information Protection Commission, Temu has entrusted companies in South Korea, China, Singapore, Japan, and other countries to process or store user data.
The South Korean Personal Information Protection Commission stated in a press release that Temu “did not disclose or notify users in its privacy policy that their personal data would be entrusted to overseas entities.”
The commission stated that Temu has been fined approximately 13.9 billion South Korean won (about $997,624) in accordance with the personal data protection law.
The commission also mentioned that Temu has not supervised overseas companies, including data protection measures, and has not properly reviewed how these companies handle personal data.
As of 2023, an average of 2.9 million users in South Korea used Temu daily, but Temu failed to establish a representative in South Korea as required by regulations.
The commission further pointed out that the Temu account deletion process involves up to 7 steps, making it “difficult for users to exercise their rights.”
A Temu spokesperson told Agence France-Presse, “We respect the decision of the South Korean Personal Information Protection Commission and fully cooperate with the investigation.”
(Translated from CNA)