When it comes to Chinese e-commerce apps doing business in America, a deal that's too good to be true is likely a deal that's too good to be true. A $14 Cowboys jersey and a pair of running shoes for under $8 aren't such a bargain when you consider the cost of leaking your personal data to a hostile foreign government. When purchases are made on sites like Temu, let's call it what it really is: a threat to your personal information and America's broader national security.
The e-commerce app known as Temu has deep ties to the Chinese Communist Party (CCP), and since its release in the United States in 2022, numerous lawsuits and experts have alleged that the app has quietly but aggressively collected personal data of American consumers without any pushback or regulation at the state or federal level. This must change.
Tens of millions of Americans use another Chinese app, TikTok, and have recently learned of the serious data security and privacy risks it poses. As a result, its parent company was recently warned to sell the app or risk being banned in the U.S. Prior to that, more than 30 state governments had banned the app on state-issued devices and broadband services. But to be clear, Temu poses just as big a risk to Americans as TikTok.
The evidence is vast and growing that the Chinese Communist Party is using every tool it can to infiltrate the United States, control supply chains, access personal information of Americans, and generally develop long-term economic coercion tools, and apps like Temu are part of that strategy.
According to a high-profile class action lawsuit, Temu “eavesdropped on the electronic communications of its website visitors and failed to warn its customers about the data breach.” The lawsuit also alleges that Temu knowingly loaded malware and spyware onto users' devices. It also alleges that Temu was “intentionally loaded with tools that carried out dangerous malware and spyware activities on users' devices.” Cybersecurity experts have warned that the app is highly intrusive and designed to collect users' personal photos and videos.
According to the class action complaint filed in February, Temu accesses “literally everything on the phone” and “circumvents the phone's security systems to read users' private messages, change phone settings, and track notifications.”
It gets even worse.
China's 2017 espionage law gives Beijing access to any secret information held by Chinese companies at any time, effectively erasing the line between companies like Temu and the Chinese Communist Party. Apps are widely used for espionage in China. Temu's sister app, Pinduoduo, was removed from Google's app store in 2023 for privacy and data security violations amid accusations that it was being used to spy on users and competitors.
By January, over 50 million Americans had downloaded the Temu app, unknowingly exposing their personal information to the Chinese Communist Party, exposing them to the threats of fraud, data leaks, cyber attacks, and identity theft nightmares. In February, Temu spent billions on Super Bowl advertising. If not addressed, the threats will only grow.
Consumers may also be shocked to learn that Temu has no systems in place to ensure compliance with Uighur Forced Labor Prevention Laws, effectively meaning many of the bargain products delivered to American homes are made with Uighur slave labor.
There are few threats to the United States as significant as the Chinese Communist Party. Fortunately, proactive steps are being taken at the state level to counter its influence. On June 25, Arkansas Attorney General Tim Griffin announced the filing of the nation's first state lawsuit against Temu for violating the Arkansas Unfair Trade Practices Act and the Arkansas Privacy Act. Griffin described Temu as “a data theft business selling products online to further its aims.”
However, state leaders across the country need to do more to neutralize Temu's nefarious activities in their states, protect citizens' personal data, ban products made with slave labor, and remove foreign threats. State attorneys general can follow Attorney General Griffin's lead to prevent fraud and protect Americans' personal data. Meanwhile, governors can ensure that the Temu app is banned on state-issued devices and public broadband services, just as they did with TikTok. State legislatures should investigate Temu's abuse of state consumers, issue appropriate warnings based on their findings, and codify state data protections along with bans on the sale of products made with slave labor.
The bargain offered by Temu is a terrible deal for America and its consumers. This is another attempt by the Chinese Communist Party to undermine America's national security and surreptitiously steal personal information from the American people. It is the responsibility of our nation's leaders to sound the alarm and protect our people without delay.
Michael Rucci is founder and CEO of State Armor, a nonprofit that advocates for policy solutions to global threats posed by America's adversaries.
The views expressed in this article are the author's own.
Rare knowledge
Newsweek is committed to challenging conventional wisdom, seeking common ground and finding connections.
Newsweek is committed to challenging conventional wisdom, seeking common ground and finding connections.