TikTok has become one of the most popular apps for consumers in the European Union, giving the Chinese Communist Party-controlled firm more access than ever to data of European citizens.

Given the very clear issues with the spread of TikTok and its connection to the regime, should EU lawmakers consider US-like legislation (barring federal employees from using the app) or even more radical regulation to protect European consumers from a Chinese government platform? 

Zoltán Kész, Consumer Choice Government Affairs Manager, states that there is a real threat of consumers being spied on.

“With more than 230 million TikTok users in the European Union, nearly half the population, we should begin looking into solutions to encourage the governments of member states or even the European Parliament to control the Chinese app’s influence in our institutions.”

“We at Consumer Choice Center believe in free speech and tech innovation, and we also believe in being free from surveillance from despotic regimes. Free trade with private companies is also essential to global trade. Still, when it comes to the communist government ownership in the company, it worries us to see that our liberal democracies may be harmed by the possibility of European consumers’ devices being spied on,” says Kész.

“A new, 21st-century version of liberal democracies must admit that when it is authoritarian regimes involved on one side of the equation, you have to have security measures in place to save our democracies from totalitarians,” concludes Kész.

From the beginning of this week, the Hungarian Oil Company (MOL) has been unable to provide around 500 independent petrol stations with price-capped fuel. Entire municipalities will be without fuel due to this decision. Another worrying sign is that Shell has already announced a limit on petrol at the stations, where a complete fuel shortage has already become standard. Commenting on the latest developments of Hungarian price caps, Consumer Choice Center’s Government Affairs Manager, Zoltán Kész:

“Consumer Choice Center has already given out warnings regarding the possible effects of the price caps introduced by the Hungarian government. We are now experiencing these effects when we go to fill up our car and find that either there is a limit or, in the worst scenario, we find that you can’t even buy the fuel you want.”

“Not only is it disadvantageous for consumers, but it also has a backlash on distributors forced to take action to limit their losses. Some are closing down, some limit the amount consumers can buy, and some run out of fuel, and you realize it at the pump,” says Kész.

“A year ago, when this measure was introduced, it was clear that the motive behind it was purely political, as the country was about to elect the next government. However, Hungary has seen record-high inflation and rising prices in the past months. For the same political reasons, the government is not changing its price-cap policies, even if the results are clearly seen now. As we predicted at the Consumer Choice Center, shortages and the lack of available services are already happening,” concludes Kész.

Budapest, HU: This week, Hungarian Prime Minister Viktor Orban’s ruling party announced that the third wave of price caps would be introduced by having a fixed price on potatoes and eggs. Commenting on this move, Consumer Choice Center’s Government Affairs Manager Zoltán Kész:

“Hungarians experienced state-controlled price caps under communism, and we don’t have good memories of that. It leads to shortages that we already see emerging again, the rise of black markets and poverty.”

“In the past year, we have seen petrol stations close down, empty supermarket shelves, and soaring prices of other products. It is very bad for consumers to experience an increase of close to 50% in food prices and to be faced with one of the worst devaluations of the Hungarian currency”, says Kész.

“Fixing the prices of fuel, chicken, or mortgage rates will not help tackle inflation, which is expected to reach 25% by the end of the year. We have the world’s highest VAT with a rate of 27%, but our government still manages to blame everyone else for skyrocketing consumer prices. Before freezing prices at the expense of availability and business closures, we should first bring down our sales taxes by a third. This would massively reduce the burden on consumers”, concludes Kész.

Following the recent dissolution of the Malaysian Parliament, an official administration will be formed following the 15th General Election to be held on 19 November 2022. The Consumer Choice Center argues that any new government elected should focus on pro-consumer policies, especially in allowing choices.  

The Consumer Choice Center lists 9 recommendations to the new government to be researched and implemented according to the best method.

Consumer data protection – Over 25 million sets of personal data have been stolen so far this year alone, 2022. To prevent this from happening again, the Personal Data Protection Department and the commission must be placed under the responsibility of Parliament instead of the Ministry of Communications and Multimedia.

A mechanism needs to be established to manage compensation or damages to all victims of personal data theft crimes. Victims need to be notified that their personal data has been leaked. In addition, we also recommend personal liability of company directors who fail to address data protection risks. 

Make cars more affordable! – Excise duty in Malaysia starts from 60 to 105 percent calculated based on the type of vehicle and engine capacity. Manakala import duty can reach up to 30 percent depending on the country of origin of the vehicle. CCC encourages the lowering of taxes to allow cars to be imported and exported easily – less cost and can be enjoyed by a wider market. This taxation puts consumers at a disadvantage while having to pay more for a better-quality car.

Reduce barriers to research in medical marijuana – More clinical studies on the use of medical cannabis should be done. Until today, there remains a lack of research on its effects for Malaysian patients. Globally, over 40 countries have legalized medical use of cannabis, including Thailand and Sri Lanka. One study in Denmark finds that medical cannabis is frequently used as a substitute for prescription drugs, particularly pain relievers, antidepressants and arthritis medication. 

Recently, local researchers from public universities have failed to study cannabis due to legal restrictions imposed by the government on “civil servants” and not “public officers” by the Dangerous Drugs Act (DDA) 1952. Besides, Malaysia’s Dangerous Drugs Act 1952 only uses the term “cannabis” and does not make the distinction between hemp and marijuana.

Cryptocurrency and innovation – Regulation needs to be developed without stifling innovation, with a careful balance required between weighing the need to protect consumers with the benefits of a new technology with huge long-term potential. Regulation is a vital part of the cryptocurrency ecosystem, as it lifts global and local standards, sets barriers to entry for operators and provides consumer protection. Regulatory standards in a country are critical because it provides consumers with a good indication that they can trust that company with their funds. Overregulation of the industry may also deter innovation.

Adopt harm reduction approach – Adopt the harm reduction method as a concept in reducing the number of smokers. Harm reduction laws must be based on scientific-backed solutions and every consumer has the right to receive accurate information in making a decision for himself. For instance, Public Health England stated that vaping is 95% less harmful than smoking and the government needs to ensure that the information can be reached by the public.

Aviation – Enforce existing consumer protection laws by making it easier to get refunds of canceled flights. In addition, when the plane is canceled, the consumers should have the option of receiving either a cash refund or a travel voucher to rebook a new flight in the future.

Food chain – Empower genetic engineering efforts in Malaysia to diversify food sources, adapt to climate conditions and reduce import dependency. The production of food commodities from within the country is important to ensure sufficient food supply in the country. Incentives for food production projects should continue with tax exemptions for the producing industry. 

Brands matter – Maintain intellectual property protection and brand protection in order to help consumers to distinguish between fake products that might be harmful for them and original products. Esports – Maintain the plan on policy or incentive of income tax exemption on winning prizes they receive in any competition starting in 2023. In addition, any company that in any form of winning while representing the country through official games such as the Commonwealth Games, Asian Games or SEA Games can apply for tax exemption in the country.

Brussels, BE: The Consumer Choice Center (CCC), the global consumer advocacy group, has announced that Zoltán Kész has joined the organisation as a Government Affairs Manager.

Zoltán was the director of the Free Market Foundation when he entered Hungarian politics in 2015. He won a by-election as an independent, breaking the two-thirds majority of the governing Fidesz party in February, 2015. He was a member of the Hungarian Parliament and remained independent until 2018.

Commenting on his new role, Zoltán Kész said:

“I am really grateful for the opportunity to join the CCC. I have been familiar with the work of most of the individuals on the team, and I find their commitment to defending and promoting more choice and freedom for consumers all over the world very fascinating. I am looking forward to working for CCC and helping to broaden the political network in order to achieve more policy goals in the future.”

Fred Roeder, the Managing Director of the CCC said:

“We are thrilled to welcome Zoltán Kész as a Government Affairs Manager. He is an excellent addition to our growing team, and we’re confident that his immense experience and expertise will be instrumental in taking our work around Europe to the next level.”