Whether Shopee is a Chinese-funded company or not remains controversial, since the nationality of the founder and the chairman of the board, Forrest Li, is unclear. We can see from the investor details from Shopee that a Chinese-based company (Tencent) owns 20% or more. As published by The Economic Democracy Union, we should carefully consider data security and cash flow out of Taiwan through Shopee.
Ownership, Shareholders and Political Activity: -2
Shopee belongs to the Sea Group and the founder and operator are Forrest Li, who was born in Tianjin, China; yet his identity documents show that he is Singaporean. The nationality of Forrest Li remains unclear. According to the MOEA definition of Chinese-funded enterprises, subsidiary companies where Chinese-funded assets/capital hold more than 30% of the shares is defined as “Mainland-funded” companies. If Forrest Li’s nationality is clarified, Shopee’s classification as a Chinese-funded company will be reconsidered. Due to this controversy, we applied a deduction to the score, -2.
Media Reputation, Public Controversy and Boycott Calls: -3
Shopee was criticized for its pro-Thai government stance in Thailand since Shopee banned a seller who is a supporter of the opposition party. #BanShopee then became the third-highest trending hashtag with over 57,000 uses and many Twitter users saying they’ve deleted the app. This justified boycott and the political stance lead to a score reduction of -3.
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Shopee’s overseas website blocked searches for the keyword “Taiwan”, using “China Taiwan” instead. This is suspected to be a pro-China action, since the phrasing “Chinese Taipei” or “China Taiwan” are labels that the CCP pressures many companies to use, to the detriment of Taiwan (-2). Besides, Shopee released an online advertisement “Bye now, buy now” that insinuating PChome in 2018, but apologized two years later (2020). Using offensive advertising and slandering the competitor left a bad impression on some in Taiwanese society (-1). In addition, The Economic Democracy Union reported that Shopee has a large amount of personal information and corporate cash flow (-1). These led to a score reduction of -4.
Thailand and China Politics
|Ownership||Sea Group (冬海集團)|
|Leadership||Forrest Li (李小冬)|
|Shareholders||Foreign Owned (外資)|
Forrest Li, the founder and CEO of the Sea Group, is Chinese, but his identity documents show that he is Singaporean. Whether Li has renounced his Chinese nationality, and whether the time point was before or after the law was revised in Taiwan must be clarified. According to the Ministry of Economic Affairs revised the definition of Chinese-funded enterprise that to all subsidiary companies where Chinese-funded assets/capital hold more than 30% of the shares is defined as Mainland-funded companies. If the nationality of Forrest Li is Chinese, whether Shopee is a Chinese-funded company will be re-judgemented.
Shopee is suspected of illegally operating the banking industry, the investment review committee should reject the case of its capital increase
The Investment Board should reject the application for a capital increase of Shopee payment, and the financial management committee and inspections should also promptly intervene in the investigation.
Overseas Shopee block the keyword "Taiwan"
Shopee has a large amount of personal information and corporate cash flow
The #BanShopee hashtag climbed to the top of Thailand's Twitter trends
Check out here:
Shopee apologizes to PChome for Insinuating in the Ads