Data Flows from China Could Be Significantly Restricted

Extract from article by Stephen Claeys and Shawn Chang

Proposed Chinese regulations (open in Google Chrome for English translation) could substantially limit the ability of companies in China from sending data outside of that country.   If implemented, the regulations would potentially affect almost any type of business or data flow.

The regulations are to implement China’s wide-ranging Cybersecurity Law, which goes into effect on June 1.  This law already raised concerns due to its new security review requirements for data sent outside of China and a broadened scope for information that must be kept inside of China, among other troublesome provisions.