New Mainland China's Data Security Law

The Standing Committee of the National People's Congress (NPCSC) enacted the Data Security Law of the People’s Republic of China on 10 June 2021 (Data Security Law). In addition to providing an overarching legislative framework for data security in Mainland China, the law includes an important new data blocking statute with associated penalty provisions. 

The Data Security Law:

• Adds key items to Mainland China’s existing data system
• Re-affirms clear hierarchy of responsibility of different parties in respect of the handling and protecting of important data collected and generated in Mainland China
• Imposes new restrictions on exporting data in response to requests from foreign judicial or enforcement bodies – impact on MNCs and parties who must comply with foreign data production obligations
• Penalties articulated for violation
• Becomes effective on 1 September 2021