Cross Border Transfer Of Personal Information: China's New Measure On Certification

Background
Cross border transfer of personal information is increasingly a necessity and becomes fundamental to modern global business operation. Multinational companies often manage employment and customer relationships centrally while providing services worldwide. The rise of cloud computing means that data is often stored on servers located in different countries. E-commerce platforms serve international customers to SaaS providers offering global solutions. Cross border personal information transfer is therefore a key element of data protection laws.

Chinese personal information is regulated by Personal Information Protection Law (PIPL). Article 38 of PIPL requires that if a personal information processor truly needs to provide personal information to any party outside the territory of the People's Republic of China for business or other needs, it or he must meet any of the following conditions: (i) passing the security assessment by Cyberspace Administration