Cybersecurity has remained a priority for the Chinese government in 2016. On the heels of the enactment of the National Security Law and the Anti-Terrorism Law, the second draft of the Cybersecurity Law was released for public comment on July 5, 2016. Although still in draft form, the Cybersecurity Law, when adopted, will impose requirements on companies with business operations within China that have been subject to heated discussions among multinational companies (MNCs).
Here we’ve put together a review of a significant amendment in the second draft of the Cybersecurity Law that could have a substantial impact on MNCs’ China operations—the expansion of the law to require the storage of a broad array of personal and business information within China.
The Expanded Data Localization Requirement
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