August 16, 2017, Global Policy Watch

For years, the foreign business community has called for greater transparency and opportunities to provide more input into China’s legislative and regulatory rule-making processes. In a small step forward, on July 19, the Legislative Affairs Office of the State Council (“SCLAO”) released draft revisions to the Regulations on Procedures for Formulating ...

July 31, 2017, Global Policy Watch

An updated version of China’s Catalogue of Industries for Guiding Foreign Investment (“Foreign Investment Catalogue,” or “Catalogue”) went into effect on July 28. The Catalogue has been a key tool used by Chinese policymakers to coordinate foreign investment with the country’s economic development plans and industrial policies. Its categorizations are an ...

July 31, 2017, Global Policy Watch

China has put into effect an updated “negative list” for foreign investment in the country’s pilot free trade zones (“FTZs”). Officially named the Free Trade Zone (FTZ) Foreign Investment Entry Special Administrative Measures (Negative List) (2017 Version), the FTZ negative list is an important document that lists business sectors in which foreign investment is ...

May 2, 2017, Global Policy Watch

China is embarking on an ambitious effort to develop a new, unified civil code, scheduled for completion by 2020. During this year’s meeting of the National People’s Congress, NPC delegates ratified the General Provisions on the Civil Code (“General Provisions”), China’s first significant step toward establishing a unified legal code on civil affairs in ...

April 24, 2017, Global Policy Watch

As the dramatic political shifts in Washington captivate the world, and the US reconsiders its traditional global leadership role, Chinese President Xi Jinping is positioning China to increase its own global role and influence. In a highly touted speech at the World Economic Forum in January, Mr. Xi mounted a rousing defense of economic globalization...… ...

April 21, 2017, Global Policy Watch

On Friday, April 14, the U.S. Department of Treasury published a widely anticipated semi-annual report detailing the foreign exchange practices of America’s major trading partners. Although he regularly called for China to be labeled as a “currency manipulator” as a candidate, President Donald J. Trump and his administration declined to use the occasion of ...

March 23, 2017, Global Policy Watch

Last Wednesday, the “Two Sessions” (see our introductory article here) officially came to a close as the National People’s Congress (“NPC”) wrapped up its final day (the Chinese People’s Political Consultative Conference (“CPPCC”) concluded last Monday). Over the course of the past three weeks, various actors within the Chinese government have used the annual ...

March 9, 2017, Global Policy Watch

On Sunday, Premier Li Keqiang kicked off this year’s session of the National People’s Congress (which together with the Chinese People’s Political Consultative Conference make up the “Two Sessions”) by delivering the annual government work report, described by some as China’s version of the State of the Union address. The report is noteworthy for what...… ...

March 3, 2017, Global Policy Watch

Friday marked the official start of China’s “Two Sessions,” shorthand for the annual parallel meetings in Beijing of the National People’s Congress (“NPC”) and the Chinese People’s Consultative Conference (“CPPCC”). Beginning on March 3rd and 5th, respectively, the CPPCC and NPC bring over 3,000 government officials, as well as scores of business people and ...

November 8, 2016, Covington Alert

On November 7, the Standing Committee of China’s National People’s Congress (“NPC”) passed China’s first Cybersecurity Law (the “Law”), which will take effect starting June 1, 2017.

Described as China’s “fundamental law” in the area of cybersecurity, the new Law articulates the government’s priorities with respect to “cyberspace sovereignty,” consolidates existing network security-related requirements (covering both cyber and physical aspects of networks), and grants government agencies greater power to regulate cyber activities. It is the first Chinese law that systematically lays out the regulatory requirements on cybersecurity, subjecting many previously under-regulated or unregulated activities in cyberspace to government scrutiny. At the same time, it seeks to balance the dual goals of enhancing cybersecurity and developing China’s digital economy, which relies heavily on the free flow of data.

With its broad application, the new Law will have significant and long-lasting implications for companies operating in China or seeking to access the Chinese market. This alert highlights key features of the Law and explains these implications.

November 1, 2016, Global Policy Watch

On October 31, the Xinhua news agency reported that the Standing Committee of China’s National People’s Congress (“NPC”) is conducting the third reading of the draft Cybersecurity Law (“the Law”). NPC released two previous drafts of the Law for public comment in July 2015 and July 2016 (see Covington e-alerts here and here), but the...… Continue Reading

October 21, 2016, Inside Privacy

China’s top internet regulator, the Cyberspace Administration of China (“CAC”), continues to show interest in setting more stringent rules governing the protection of minors in the context of online activities and data privacy. Immediately prior to the October holiday, CAC released for public comment new draft regulations aimed at protecting minors on the ...

August 12, 2016, Inside Privacy

China’s State Administration of Industry and Commerce (“SAIC”) has released for public comment a draft regulation implementing recent amendments to a consumer protection law that would, among other things, supplement existing privacy obligations for businesses operating in China. The “Regulations on the Implementation of the Law on the Protection of the Rights ...

July 12, 2016, Covington Alert

On July 5, 2016, China’s National People’s Congress (“NPC”) released a new draft of the Cybersecurity Law for public comment (official Chinese version available here; unofficial translation from AmCham China available here). The revised draft contains a number of significant changes from the first draft, which was released in July 2015, but retains many of the provisions from the first draft that raised concerns among multinational companies, especially those in the tech sector, about the potential to serve as a tool for discriminating against foreign technologies in favor of domestic industry.

July 1, 2016, Inside Privacy

The Cyberspace Administration of China (“CAC”) has issued new rules regulating apps for smartphone/mobile devices, the Rules on the Management of Mobile App Information Services (“App Rules,” available here, preceded by a Q&A section, all in Chinese), that will come into effect on August 1, 2016. The App Rules are aimed primarily at regulating the rapidly...… ...

June 7, 2016, EURObiz

June 1, 2016, Inside Privacy

This month, China’s National Information Security Standardization Technical Committee (“NISSTC”) organized a meeting to launch a working group tasked with drafting a Personal Information Security Standard (“PIS Standard”). NISSTC is a government committee jointly supervised by the Standardization Administration of China and the Cyberspace Administration of ...

January 5, 2016, Inside Privacy

On December 27, 2015, the Standing Committee of the National People’s Congress (NPC), China’s top legislative body, enacted a Counter-Terrorism Law (see the Chinese version here, and an unofficial English translation here), which took effect on January 1, 2016.  The adoption of this law, a year after the first draft was released for public comment,...… Continue ...

January 5, 2016, Covington Alert

September 3, 2015, Cov Africa

When China sneezes, does all of Africa catch a cold? Slower Chinese growth and a recently devalued currency will certainly impact Africa, whose largest trading partner is China. However, the impact of China’s recent currency devaluation will largely depend on country-specific factors. The Chinese government likely devalued its currency in August in part to ...

September 1, 2015, Inside Privacy

On August 29, 2015, China’s legislature, the National People’s Congress, amended the Criminal Law, effective November 1, 2015. Among other things, the amendments modify and add several provisions related to data privacy and cybersecurity. We discuss some of these key amendments below. Expanded criminal sanctions for illegal sale or provision of personal ...

September 2015, Bloomberg BNA World Data Protection Report

July 13, 2015, Inside Privacy

On July 6, 2015, China’s National People’s Congress (NPC) released a draft of the Network Security Law  (“Draft Law,” referred to in some press articles as the draft Cybersecurity Law) for public comment.  Comments can be submitted through the NPC website or by mail before August 5, 2015. The release of the Draft Law follows...… Continue Reading

February 5, 2015, Inside Privacy

China’s principal internet regulator, the Cyberspace Administration of China (“CAC”), announced this week that China will move forward new legislation to combat the improper collection, use, and sale of personal information. The new legislation, announced during an interview of a senior CAC official by state-owned Xinhua News, is reportedly being drafted by CAC, ...

January 26, 2015, Inside Privacy

New consumer protection provisions that clarify how companies may collect, use, and protect personal information of consumers will come into effect in China on March 15, 2015. On January 5, 2015, China’s State Administration of Industry and Commerce (“SAIC”) issued measures to implement China’s Consumer Rights Protection Law (“CRPL”), which was amended effective ...

December 11, 2014, African Law & Business

Covington's Ashwin Kaja authored this piece on the implications of the Ebola crisis on international businesses: Although headway has been made in curbing the spread of the Ebola virus in Guinea, Liberia, and Sierra Leone, more than 16,000 people to date have contracted the virus and nearly 7,000 have died in what the World Health Organization (WHO) calls the ...

December 11, 2014, African Law & Business