Briefing On The New Draft Legislation On Exporting Data Out Of China

On 30 June 2022, the Cyberspace Administration of China (the "CAC") released the draft of Provisions on Standard Contracts for Cross-border Transfers of Personal Information (the "Provision") for seeking public comments until 29 July 2022. This Provision contains an appendix of a sample template of standard contractual clauses (the "SCC") for businesses to integrate into their commercial contracts entered into with other data handlers.

Since the Provision is drafted in accordance with the Personal Information Protection Law (the "PIPL"), the definitions formulated by the PIPL will be inherited by the Provision and consistent with the PIPL.

As per Article 38 of the PIPL, there are four scenarios for data exporters to transfer personal information outside of China legitimately, that is: