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China

Business groups slam China's draft cybersecurity rules

Letter from 46 organisations to Premier Li Keqiang says regulations would inhibit trade

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The letter to Premier Li Keqiang was from industry associations from Asia, Australia, the United States, Mexico and Europe. Photo: Bloomberg
Reuters

In a letter addressed to Chinese Premier Li Keqiang, 46 global business groups spanning finance, information technology, insurance and manufacturing urged Beijing to revise its draft cyber rules, which they said would hamper trade.

The signatories include industry associations from Asia, Australia, the United States, Mexico and Europe, according to a copy of the letter seen by Reuters.

Foreign industry groups have made no secret of their concerns over China’s draft cybersecurity law, which in June underwent a second of three parliamentary readings typically required before being adopted.

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They say the draft regulations, as well as cyber rules from China’s insurance regulator, include provisions for invasive government security reviews and onerous requirements to keep data in China.

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“Trade-inhibiting security reviews” for information and communications technology products and services under the rules might weaken security and constitute technical barriers to trade under the World Trade Organisation, the groups said in the letter.

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