China’s vague cybersecurity law has foreign businesses guessing

The most disturbing thing for foreign businesses facing China’s new cybersecurity law may just be how vague and broad it is.

Under the new law, adopted on Monday and taking effect next June, it’s possible that any major company working in the country might be subject to “security reviews” from the Chinese government.

Any company involved in telecommunications, information services, finance or any sector “where the loss of data can harm the country’s security” is subject to a possible review. But what these security reviews actually entail isn’t clear in the law.

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