Austrian advocacy group Noyb has filed privacy complaints against six Chinese companies, including TikTok, Shein, and Xiaomi, accusing them of unlawfully transferring European Union (EU) user data to China. The complaints were submitted on Thursday and mark Noyb’s first legal action against Chinese firms.
Noyb’s Privacy Advocacy
Noyb (None Of Your Business), a Vienna-based organization, is well-known for its complaints against American tech giants like Apple, Meta, and Alphabet. Its actions have led to numerous investigations and billions of dollars in fines under the EU’s stringent privacy laws. This latest move extends its focus to Chinese companies, signaling growing concerns about data privacy.
Companies Under Scrutiny
The six companies named in the complaints are:
- TikTok: The popular social media platform owned by ByteDance.
- Shein: A fast-fashion retailer.
- Xiaomi: A global smartphone manufacturer.
- AliExpress: Alibaba’s e-commerce platform.
- Temu: An emerging online retailer.
- WeChat: Tencent’s messaging app.
Noyb alleges that these firms admit to transferring European user data to China or undisclosed “third countries,” likely linked to China. This practice potentially violates the EU’s General Data Protection Regulation (GDPR).
The Legal Basis for Complaints
The GDPR strictly regulates data transfers outside the EU, permitting them only if the destination country ensures equivalent data protection standards. Noyb argues that China, as an “authoritarian surveillance state,” does not meet these standards.
“China doesn’t offer the same level of data protection as the EU,” said Kleanthi Sardeli, a data protection lawyer at Noyb. “Transferring Europeans’ personal data is clearly unlawful and must be terminated immediately.”
Potential Penalties
The complaints, filed in four European countries, seek the suspension of data transfers and fines of up to 4% of each company’s global revenue if found in violation of GDPR.
Broader Regulatory Challenges for Chinese Firms
Chinese companies, especially TikTok, have been under increasing scrutiny worldwide. TikTok faces a potential federal ban in the United States. Which could result in its app being shut down for U.S. users as early as Sunday. Meanwhile, the European Commission is investigating TikTok for allegedly failing to limit election interference. Including during Romania’s presidential elections in November.
Implications for Data Privacy
Noyb’s action underscores mounting concerns about global data flows and the privacy risks associated with authoritarian states. This case could set a precedent for how the EU enforces data protection rules against non-Western companies, emphasizing the need for stricter compliance in a rapidly digitizing world.
Conclusion
As privacy advocacy groups like Noyb intensify their efforts. Chinese companies operating in Europe may face significant legal and financial challenges. These developments highlight the growing importance of transparent and lawful data practices to maintain user trust and comply with international regulations.
