US looks to crack down on cheap shopping site Temu amid concerns of exploitation

The House Intelligence Committee is reportedly looking to take action against the Chinese Communist Party-linked e-commerce company Temu and its parent company Pinduoduo (PDD) amid concerns of exploitation of U.S. data. 

In a letter obtained by FOX Digital, lawmakers are requesting a joint briefing from the FBI and the Securities and Exchange Commission (SEC) on whether the bureau has provided any intelligence to the SEC regarding the issues related to Temu and PDD. 

Lawmakers stressed their concern, citing “the protection of Americans’ data.” 

They are also demanding answers on whether any laws or policies are standing in the way of information sharing between the intelligence community and the SEC and more. 

Temu investigation

In a letter to FBI Director Christopher Wray and SEC Chairman Gary Gensler, House Intelligence Committee Chairman Mike Turner (R-Ohio) and Rep. Darin LaHood (R-Ill.) requested a briefing on the companies. 

The letter was signed by every Republican member on the House Intelligence Committee. 

“The relationship between Temu, their parent company PInduoduo, and the Chinese Communist Party’s national security laws raise serious concerns that the CCP has taken another effort, beyond TikTok, to exploit Americans’ data and undermine our democracy,” LaHood told Fox News Digital. 

LaHood said Temu has “abused our trade laws” and warned that its Chinese ownership “has elevated the risk to American consumers, with the potential to allow private and sensitive data to be transferred to foreign adversaries.”

Lawmakers note that PDD is listed on the NASDAQ and “subject to United States’ Securities and Exchange Commission purview.” 

In the letter, lawmakers also say “multiple entities, ranging from U.S. Senators, to the House Select Committee on the Chinese Communist Party, states’ Attorneys General, and countless others, have previously raised alarm over the practices of Temu and PDD — ranging from possible trade, slave labor, and national security concerns.”

In 2023, Google suspended the PDD app, arguing that it exploited a zero-day vulnerability “that allows them to surreptitiously take control of millions of end-user devices to steal personal data and install malicious apps.”

Temu on App Store displayed on a phone screen and Temu logo displayed on a screen in the background are seen in this illustration photo taken in Krakow, Poland on July 6, 2023. (Photo by Jakub Porzycki/NurPhoto via Getty Images)

The demand for a briefing comes amid ongoing concerns from officials in states across the nation alleging the “disturbing” collection of U.S. consumer data and illegal forced labor practices. 

Last year, the House Intelligence Committee revealed “disturbing information about Temu’s failure to comply with American laws prohibiting the use of forced labor by Uyghurs.” 

Temu, at the time, admitted it did not have a policy in place to prohibit the sale of goods from Xinjiang, the location of the CCP’s ongoing genocide against Uyghurs. Temu also said it is not subject to the Uyghur Forced Labor Prevention Act. 

Temu did not respond to Fox News Digital’s request for comment.

FOX Digital and FOX Business contributed to this report.