Hi folks, we are back with our weekly edition of China’s Digital Digest, wherein we bring you weekly updates on China’s digital space. The report takes a quick glance at China’s complex and rapidly evolving social media landscape by providing updates on the latest happenings across the social media industry. Here are the major highlights of the report.
1. Albania to Ban TikTok For a Year After Teenager Stabbed to Death
Albania’s prime minister has said that the government will shut down the video service TikTok for one year, blaming it for inciting violence and bullying, especially among children.
Albanian authorities held 1,300 meetings with teachers and parents following the stabbing death of a teenager in mid-November by another teen after a quarrel that started on TikTok. Albanian children comprise the largest group of TikTok users in the country, according to domestic researchers. There has been increasing concern from Albanian parents after reports of children taking knives and other objects to school to use in quarrels or cases of bullying promoted by stories they see on TikTok.
2. TikTok Investigated for Suspected Election Interference in Romania
The European Commission has opened a formal investigation under its powerful digital laws into TikTok’s alleged role in violating the integrity of the recent Romanian election.
Efforts to elect a new president in the EU and Nato member were derailed amid allegations of “aggressive hybrid action” by Russia to hijack the first round of voting in November. Earlier this month, the country’s constitutional court dramatically annulled the first round just before a second-round run-off was scheduled to take place. Alleged manipulation of TikTok, the Chinese-owned social media platform considered to be increasingly influential in Europe, has been at the centre of authorities’ complaints. The first round was surprisingly won by the far-right candidate Calin Georgescu, who was also leading in the polls for the run-off.
3. China’s Tax Authority to Demand Online Influencer, Merchant Revenue Numbers
China’s tax authority has published a draft regulation that would require the operators of e-commerce, short-video and social media platforms to report the income of merchants and influencers.
Under the current draft, which is soliciting public feedback until January 19, internet platform operators must report the identity, income and other tax-related information about revenue-generating users to the authority on a quarterly basis, the State Taxation Administration (STA) said in a statement.
Among other information that would have to be turned over upon request under the regulation, which was co-authored by the State Administration for Market Regulation, are total revenue, refund amounts, advertising income, and bank account numbers.
4. WeChat Flexes Ecommerce Muscles With Gift Feature
https://kr-asia.com/wechat-tests-gifting-feature-ahead-of-holidays-sparking-new-e-commerce-potential
China’s super app WeChat added a gift-giving feature to its embedded e-commerce platform ahead of Christmas, allowing users to send presents to their friends.
Shoppers can search for products by keywords. According to the official guidelines, all gifts available are priced 10,000 yuan (US$1,375) or under, and they exclude jewellery and tutoring classes. After the sender completes payment, the recipient must accept the gift and submit a postal address within 24 hours or the order will be cancelled, and the money returned to the sender. Users can only send a single gift to one WeChat friend per order.
5. WeChat Targets AI Deepfake Celebrity Scams in Latest Crackdown
WeChat has vowed to crack down on the rising number of advertising scams that use generative artificial intelligence (GenAI) to create deepfakes of celebrities from Chinese doctor Zhang Wenhong to Hong Kong actor Raymond Wong Pak-ming.
The app has taken targeted measures against violations that misuse AI to impersonate well-known figures for improper marketing and [to] maliciously attract traffic, according to a WeChat announcement. WeChat said it has deleted 532 examples of such content and shut down 209 accounts that used deepfake celebrities in marketing videos, adding that it vows to intensify its efforts against the practice.
The crackdown comes as more attention is being paid to deepfake video content on social media, especially the use of AI to impersonate public figures to promote products.
6. WeChat Pay Users Can Receive Remittances From Around the World Through Ria
Tencent‘s cross-border payment platform Tenpay Global and cross-border remittance company Euronet Worldwide, Inc.’s subsidiary Ria Money Transfer have announced a new partnership, which allows global users to send money to themselves or their family members’ WeChat Pay wallets or linked bank accounts through Ria’s online and offline channels.
Ria has set up more than 595,000 remittance outlets in nearly 200 countries and regions, allowing WeChat Pay users in China to receive remittances from around the world and enjoy flexible consumption experiences, including transfers, top-ups, shopping, etc. Officials stated that this cooperation enables Ria to leverage the vast user base of WeChat and WeChat to expand its mobile network coverage to 3.1 billion e-wallet accounts worldwide.
7. Walmart Partners With Chinese Delivery Giant Meituan For Speedy Service
US retail giant Walmart is teaming up with Chinese on-demand delivery giant Meituan, promising speedy door-to-door service on the mainland.
Walmart’s China unit said on its official WeChat account that all of its stores across the country are now listed on Meituan’s platform, making groceries and other goods available for immediate delivery. In addition to providing delivery services, the goal of the partnership is to improve digital marketing and explore the business model of warehouse supermarkets, among others, Walmart said in a statement.
The announcement comes months after the US retail giant dumped its JD.com shares to focus on building up its improving China operations. Walmart said it would continue its “commercial relationship” with JD.
8. China’s Food Delivery Platforms Meituan and Ele.me Force Riders to Take Breaks After Long Hours
China’s two major on-demand delivery service providers, Meituan and Ele.me, have introduced new features that alert or forcibly log out couriers who work excessively long hours, aiming to prevent rider fatigue.
Meituan has been piloting a “fatigue management” system in select cities. This system detects prolonged working hours through the courier app, prompting riders to take a break after a certain amount of time, typically longer than 12 hours. If the suggestion is ignored, the app will eventually require the rider to go offline. Its competitor Ele.me has also adopted a “fatigue reminder” and warning system for its riders.
The platforms are introducing the alert system as food delivery crew, along with Uber-style taxi drivers, bear the brunt of China’s economic slowdown and weakened consumer spending, forcing them to work extremely long hours to make ends meet.
9. The Query Volume on Xiaohongshu Reached 600 Million Times in 2024
Xiaohongshu’s daily average search volume soared to 600 million in the fourth quarter of 2024, doubling its mid-2023 figure of 300 million.
Reports suggest that much of Xiaohongshu’s surge in search volume has come at the expense of Baidu. Industry experts estimate Baidu’s current daily search volume to be slightly above 1 billion, with Xiaohongshu now accounting for nearly half of that figure.
According to industry insiders, if Xiaohongshu maintains this rapid growth trajectory while Baidu experiences a decline in market share, Xiaohongshu is poised to surpass Baidu in daily search volume as early as next year.
10. Alibaba to Sell Department Store Intime to Focus on Core Ecommerce
China's Alibaba has said that it had agreed to sell department store chain Intime at a $1.3 billion loss, as the tech giant trims down its operations with competition intensifying in the country's cutthroat ecommerce market.
The company is selling its entire stake in the retail chain, in which it first invested in 2014, to a consortium of purchasers comprising Youngor Group and members of Intime’s management team. Youngor Group is a textile and clothing company based in the eastern city of Ningbo.
Wrapping Up
The vast and diverse nature of the Chinese Social Media space makes it incredibly challenging to keep a tab on the rapid developments taking place. However, China’s Digital Digest brings you all the latest updates from there to keep you abreast of all the evolving trends.
To delve deeper into the findings of our latest report, click here.
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