Draft Rules On Cross Border Data Transfer

With China's relaxation of cross-border data transfer requirements still in draft form – how should MNCs in China approach their data exports?

China recently released a set of draft rules which purport to relax some of the burdensome requirements on data exports. Amidst a yearslong tightening of data security laws and an anti-espionage campaign over the summer, the move was widely welcomed by foreign businesses as a signal that regulators were willing to temper national security objectives with the need to support economic growth. With the rules still in draft form, we explain their significance and how companies should respond until they are finalised and effective.

What are the key changes proposed in the draft rules?