On September 28, 2023, the Cyberspace Administration of China (CAC) published the draft Provisions on Regulating and Promoting Cross-Border Data Transfers (Draft Provisions). If adopted into law in their current form, the Draft Provisions would:
Exempt a large number of companies that export data and other information from China in certain common business scenarios from otherwise mandatory data export requirements.
Raise the minimum threshold for triggering the onerous Security Assessment requirement with the CAC.
Limit the scope of “Important Data” (which is subject to higher scrutiny by PRC authorities) to data explicitly designated as such by authorities.
Allow free trade zones to determine what types of cross-border data transfers are subject to mandatory data export procedures.
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