Regionalization: Avoiding Loss of Control

Many international companies are currently considering regionalizing their production and upstream supply chains for specific markets to a greater extent and making their subsidiaries in different world regions more independent of each other. The goal is to secure supply chains by deepening regional value creation and to better meet regional customer needs through regionally manufactured… Continue reading Regionalization: Avoiding Loss of Control

The Personal Information Protection Law (PIPL) Challenges Companies

After three revisions, China’s Personal Information Protection Law (PIPL), which has received much attention abroad, will come into force on November 1, 2021. It comprehensively protects personal data, going beyond the European General Data Protection Regulation (GDPR) – a milestone in Chinese legal history. Take Big Data price discrimination, for example: it refers to the… Continue reading The Personal Information Protection Law (PIPL) Challenges Companies

Cybersecurity Review: Didi Is Not the Last Company

In just two days, Didi, China’s largest service platform for private car ride-hailing, has gone from investor darling to the first major case of a cybersecurity review by the Chinese government against a company after a stellar IPO on Wall Street. One of the bases of this review is the Measures for Cybersecurity Review 2020,… Continue reading Cybersecurity Review: Didi Is Not the Last Company

DSL: What is “Important Data”?

The Data Security Law (DSL), which further strengthens China’s regulation of data security, will come into effect on September 1, 2021. The critical question for foreign companies is to what extent they will be affected by the DSL. The crux of the matter here is the so-called “important data.” This special category of data is… Continue reading DSL: What is “Important Data”?

Automakers Must Implement the MLPS for Autonomous Vehicles

China has gradually lowered barriers to foreign investors entering the auto industry in recent years, but is now stepping up regulation and supervision of companies in the areas of cyber security and data protection.   On April 7, 2021, the Ministry of Industry and Information Technology (MIIT) released draft “Guidelines for Approval of Manufacturers of Intelligent… Continue reading Automakers Must Implement the MLPS for Autonomous Vehicles

Chinese GDPR: On the Safe Side

China has taken another step toward data protection with the release of the second draft revision of the Personal Information Protection Law (PIPL). Although not the final law, it appears that personal data protection legislation has entered the final stages, and it is believed that the PIPL will soon be formally enacted. It is not… Continue reading Chinese GDPR: On the Safe Side

Blockchain Makes Evidence Secure

The use of public blockchains and cryptocurrency trading have been heavily restricted in China since 2017. However, in 2019, the Chinese government realized that this technology is not only a risk of losing control, but can be very useful. Since then, it has been trying to target blockchain technology to improve cybersecurity and build a… Continue reading Blockchain Makes Evidence Secure

China Fights Misleading through Deepfakes

China is increasingly cracking down on illegal deepfakes – fake digital representations of people in image, video or audio formats created using artificial intelligence for the purpose of deception. The counterfeiter usually collects facial or body data of a person in the form of images and uploads them to an AI algorithm. This processes the… Continue reading China Fights Misleading through Deepfakes

China Restricts Tesla Driving Permits for Civil Servants

After Tesla was first targeted by the Chinese government earlier this year over allegations of quality shortcomings, the successful e-car manufacturer is now in the spotlight over espionage allegations and threats to national security. According to recent reports, military personnel, government officials, and employees of large state-owned enterprises are no longer allowed to use Tesla-branded… Continue reading China Restricts Tesla Driving Permits for Civil Servants

MLPS 2.0: China Steps Up Its Cybersecurity Inspections

Implementation of the Cyber Security Law through the Multi Level Protection Scheme (MLPS 2.0) is mandatory for all companies established in China. Because implementation has been slow, the government has now stepped up cybersecurity monitoring and is urging companies to fulfill their MLPS obligations. The authorities are particularly targeting the industrially strong regions, where many… Continue reading MLPS 2.0: China Steps Up Its Cybersecurity Inspections