China's new data security law: Who it affects and what it does
01 September, 2021
China's new data security law takes effect from Wednesday (Sep 1), the latest effort to tighten oversight of the country's mammoth tech sector.
The broadly worded law seeks to tighten the leash on China's tech giants and what they do with information from their hundreds of millions of users.
It also comes as fears grow over data security with government departments becoming increasingly dependent on cloud storage services.
Beijing has also flagged national security concerns as justification for the law. As Chinese tech firms look to branch out overseas, authorities fear domestic data will end up in foreign hands.
Here is a look at what we know about the new law:
WHAT IT DOES
The law lays down the responsibilities of all companies and organisations handling data.
It stipulates fines of up to 10 million yuan (US$1.55 million) for a range of offences including leaks and failing to verify the identity of buyers or sellers of information.
Its scope is broad, and includes data stored and handled within China's borders as well as data abroad that could harm China's national security or the rights of its citizens.
Crucially, organisations and individuals are forbidden to hand over information to overseas law enforcement authorities without Beijing's permission.
This signals "there will be much tighter control over cross-border data transfer", Angela Zhang, associate professor of law at the University of Hong Kong, told AFP.
The law also affords Beijing the right to retaliate against any foreign government using "discriminatory" measures against China in the data and tech sectors.
Detailed rules for the implementation of the law have not been published.
"NATIONAL SECURITY"
The legislation also identifies a new "core" category of data "related to national security, the lifeline of the national economy, major aspects of the people's livelihood, and major public interests", which will be subject to stricter scrutiny.
There are mounting fears in Beijing over the potential security risks of Chinese data ending up in foreign hands.
"NATIONAL SECURITY"
The legislation also identifies a new "core" category of data "related to national security, the lifeline of the national economy, major aspects of the people's livelihood, and major public interests", which will be subject to stricter scrutiny.
There are mounting fears in Beijing over the potential security risks of Chinese data ending up in foreign hands.
Source: www.channelnewsasia.com
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