HÀ NỘI — The National Competition Commission has fined Xiaomi Vietnam VNĐ290 million (US$11,000) for violations related to personal data protection, influencer advertising and contractual terms with consumers.

Under Decision No. 123/QD-XPHC, the commission, acting in its state management role for consumer rights protection, issued administrative penalties against several businesses, including Xiaomi Vietnam, for breaches of the 2023 Law on Consumer Rights Protection.

According to the decision, Xiaomi Vietnam did not provide consumers with the option to consent or refuse the use of their personal data for advertising, product promotion, services and other commercial activities. This violates Clause b, Point 4, Article 18 of the Law on Protection of Consumer Rights 2023.

In addition, Xiaomi Vietnam was found to have failed to notify or disclose in advance the sponsorship of influencers using their images, advice or recommendations for commercial promotion, encouraging consumers to purchase or use its products, goods and services. This violates Clause h, Point 1, Article 10 of the Law on Protection of Consumer Rights.

The company was also fined for including clauses in its general terms and conditions that are not permitted by law, in breach of Article 25 of the 2023 Law on Consumer Rights Protection.

Separately, on January 14 this year, the National Competition Commission fined Y&B Joint Stock Company, the exclusive distributor of Cocoon Vietnam products, VNĐ50 million for failing to disclose influencer sponsorship arrangements involving the use of images, advice or recommendations for commercial promotion and for encouraging product consumption. — BIZHUB