China has refuted claims that it mandates companies to hand over data, following a substantial fine imposed on TikTok by the European Union for its mishandling of personal data. The popular social media platform was ordered to pay 530 million euros ($600 million) on Friday for transferring user data from Europe to China without ensuring it was protected from access by Chinese authorities. This penalty marks the second-largest fine ever levied by the EU, as a result of an investigation into the legality of data transfers by TikTok.
In response to the fine, the Chinese-owned TikTok has announced its intention to appeal the decision. The Chinese Foreign Ministry has categorically denied any involvement in requiring enterprises or individuals to unlawfully collect or store data. It has urged the EU and Ireland, where TikTok’s European headquarters are based, to provide a fair and non-discriminatory business environment for companies from all nations.
TikTok, which is a subsidiary of Chinese tech company ByteDance, has come under scrutiny in several countries over concerns about national security and the potential for Chinese government access to user data. Some nations, including Pakistan, Nepal, and France’s New Caledonia territory, have temporarily banned the platform due to these apprehensions. The recent fine is expected to heighten pressure on TikTok in the United States, where Congress passed a law in 2024 mandating ByteDance to divest control of TikTok in the US or face a ban from the country.
US President Donald Trump has twice extended the deadline for the sale of TikTok’s US operations, with the latest deadline set for June 19. Beijing has consistently denied allegations of data access from overseas companies and asserts its compliance with local laws. The ongoing controversy surrounding TikTok highlights the complexities of data privacy and national security concerns in the digital age.
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