Chinese regulators have eased some deadline pressure on multinational companies struggling to comply with new rules requiring them to seek approval to export user data, according to lawyers advising clients on the matter.
The rules were introduced in September by the Cyberspace Administration of China to strengthen cyber and national security.
They apply to firms with more than a million Chinese citizens as users, those seeking to export "important data", those handling the personal information of more than 100,000 Chinese individuals, and those with the "sensitive" personal data of more than 10,000 people. The issue affects a wide range of global companies that need to share Chinese user data with overseas offices and how strictly data security is enforced in the future will determine how far businesses may have to go in "localising" their data.
Ling Jin, head of digital and commercial services at Lusheng Law firm, said regulators had made a "compromise" in not strictly enforcing the deadline as they were also under pressure to restore confidence in the economy among multinationals.It was not immediately clear if regulators would be setting a new deadline for the whole process to be completed. The CAC did not respond to a Reuters request for comment.
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