Taiwan Enacts One-Year Ban on Chinese Social Giant Xiaohongshu Amid Escalating Fraud Crisis

Taiwan’s Ministry of the Interior has officially ordered a comprehensive one-year suspension of the popular Chinese social media platform Xiaohongshu, citing severe security vulnerabilities and a rampant increase in fraud-related activities. The decisive move, announced on Thursday, marks a significant escalation in Taipei’s regulatory stance against mainland Chinese applications that fail to adhere to local legal standards and data protection protocols.

Authorities revealed that the app, known internationally as Rednote, has been linked to over 1,700 reported fraud cases since the beginning of 2024, a statistic that underscores the growing digital threat facing the island's internet users. These scams have allegedly defrauded Taiwanese citizens of approximately T247.68 million (US7.91 million) in just under two years. The suspension order follows a rigorous government cybersecurity assessment in which the platform reportedly failed every single one of the 15 critical safety indicators, raising immediate alarms about user privacy and data sovereignty.

According to the ministry, the Shanghai-based company has effectively created a "substantive legal vacuum" by operating without a designated legal representative in Taiwan, a mandatory requirement for all digital platforms under local law. This lack of compliance has severely hampered police investigations into financial crimes facilitated through the app, leaving victims with little recourse. Despite an official inquiry sent to Xiaohongshu’s parent company in October demanding concrete data safety measures and cooperation, officials stated that the tech firm provided no response, necessitating the provisional ban.

With a dedicated user base exceeding 3 million in Taiwan, the app serves as a major hub for lifestyle and fashion content, frequently drawing comparisons to Instagram. However, the government has now issued a stern directive for internet service providers to block access to the platform for the next 12 months. Future operations for the app in Taiwan will hinge entirely on the company’s willingness to establish a compliant legal presence and cooperate "in good faith" with Taiwanese law enforcement. In the interim, officials have strongly advised citizens to uninstall the software immediately and migrate to alternative platforms that meet established information security standards to protect their personal data.