Taiwan bans Xiaohongshu over fraud and data concerns

Taiwan has ordered a one-year ban on the Chinese-owned social media app Xiaohongshu, citing its alleged failure to cooperate with investigations into fraud and data security risks. The move places the popular lifestyle platform at the center of mounting tensions between Taipei and Beijing over cybersecurity, influence operations and digital governance.

Officials say the decision reflects both criminal enforcement concerns and broader national security calculations. The app, widely used by young people in Taiwan, has been linked to a rising number of fraud cases, according to authorities, adding urgency to a debate that has simmered for several years.

Taiwan’s Ministry of the Interior said on Thursday that Xiaohongshu fraud cases had exceeded 1,700, resulting in financial losses of about NT$247.7 million (approximately $7.9 million). The ministry said the Shanghai-based company had not provided necessary data to support investigations, creating what it described as a “de facto legal vacuum.”

“Due to the inability to obtain necessary data in accordance with the law, law enforcement authorities have encountered significant obstacles,” the ministry said in a statement.

Also known as RedNote, Xiaohongshu has grown rapidly in Taiwan, attracting around 3 million users in the self-ruled democracy of 23 million people. Its image-heavy format, often compared to Instagram, features lifestyle content, shopping recommendations and short videos. The platform’s popularity has prompted concern among some officials who say it could also be used to spread disinformation or pro-Beijing narratives.

Beijing’s ruling Chinese Communist Party claims Taiwan as part of its territory and has not ruled out the use of force to bring the island under its control, despite never having governed it. Taiwan, formally known as the Republic of China, rejects those claims and operates as a separate political system.

The ministry did not specify when the ban would take effect. As of Friday afternoon, users in Taiwan were still able to access the app. Authorities said they had asked the company to submit concrete remedial plans but had not received a response.

Growing scrutiny of Chinese apps

The decision comes as governments worldwide reassess the risks posed by Chinese technology platforms. Chinese law requires companies to store data domestically and, in certain circumstances, provide access to authorities. Critics in several countries argue that such requirements could expose foreign users’ data to state oversight or enable influence campaigns.

In the United States, Congress last year passed legislation compelling ByteDance, the Chinese parent of TikTok, to divest the app’s U.S. operations or face a ban. The law led to temporary service disruptions earlier this year while negotiations continued. Several Western governments, including the United States, the United Kingdom and European Union member states, have barred TikTok from official government devices on national security grounds.

In 2020, India banned TikTok and dozens of other Chinese apps following border clashes with China, citing data security concerns.

Taiwan has previously taken similar measures. As early as 2019, authorities barred Xiaohongshu, TikTok and Douyin — TikTok’s Chinese sister app — from official government devices. This week, Taiwan’s Ministry of Digital Affairs said five Chinese-developed apps, including Xiaohongshu, TikTok, Weibo and WeChat, posed “significant cybersecurity risks.” A cybersecurity review by Taiwan’s National Security Bureau found that Xiaohongshu failed all evaluation categories, according to the ministry.

The Texas state government has also prohibited Xiaohongshu on government-issued devices.

Political backlash at home

The ban has prompted criticism from opposition lawmakers and some users, who argue that it risks undermining Taiwan’s strong record on free expression.

Lai Shyh-bao, a legislator from the main opposition Kuomintang party, wrote on Facebook that Taiwan once criticized China’s use of virtual private networks to bypass restrictions and warned against moving in a similar direction. The Kuomintang traditionally favors closer ties with Beijing, in contrast to Taiwan’s current government, which maintains a more cautious stance.

Interior Ministry Deputy Minister Ma Shih-yuan defended the decision at a news conference, describing the platform as operating beyond effective legal oversight. He said concerns about Xiaohongshu were not unique to Taiwan and pointed to regulatory issues the company has faced elsewhere.

Taiwanese authorities emphasized that other international platforms — including Facebook, Google, LINE and TikTok — have appointed legal representatives in Taiwan and complied with local laws. The implication, officials said, is that Xiaohongshu’s continued operation without similar cooperation posed enforcement challenges.

For many Taiwanese users, the platform has been a source of fashion trends, travel tips and consumer reviews rather than political content. Yet officials argue that the combination of fraud allegations, data access concerns and geopolitical tensions leaves little room for compromise.

Whether the one-year ban will lead to a permanent restriction may depend on Xiaohongshu’s response and on broader developments in cross-strait relations. For now, Taiwan’s action underscores how digital platforms have become entangled in national security debates that extend far beyond social media.