On July 10, the Cyberspace Administration of China (CAC) — the country’s central Internet regulator — proposed draft cybersecurity review measures.
According to Article 6 of the draft, businesses that intend to be listed on foreign stock exchanges and possess the personal electronic information of more than 1 million customers must report for a review by the CAC.
The draft measures followed the agency’s announcements days earlier of cybersecurity reviews of China’s ride-hailing giant Didi Chuxing, YMM-Full Truck Alliance Co, Guiyang Huochebang Technology Co and Boss Zhipin. The reviews of these four major platforms were based on the amendments, which had yet to be announced.
On July 9, just days after Didi launched an initial public offering in the US, the CAC ordered the removal of Didi’s apps from app stores in the country, along with 25 related apps, for “serious violations of laws and regulations” in its collection and use of personal information. This has highlighted that in China, enforcement comes first and legislation later.
Article 2 of the draft states: “Critical information infrastructure operators ... procuring network products and services and data handlers ... conducting data handling activities that influence or may influence national security should conduct a cybersecurity review according to these measures.”
This article clearly shows that the draft is not restricted to companies that intend to conduct listings in a foreign country or companies holding personal information of more than 1 million users.
Instead, operators conducting data handling activities that “influence or may influence” China’s national security are included.
What is the standard for determining what affects national security? Based on China’s culture of letting politics lead and law enforcement serve the overall situation, authorities are given much leeway in terms of administrative discretion. This is like holding a knife to the neck of businesses, and it carries great uncertainty.
The draft has empowered Chinese government agencies to launch cybersecurity reviews at any time of their choosing in the name of national security.
The result for Taiwanese businesses operating in China could be that they lose competitiveness by having to give up business secrets, and they could even become targets of fabricated charges.
Faced with this situation, Taiwanese businesspeople working in China should prepare to protect their business information and lessen the impact.
Yu Kung is a Taiwanese businessman working in China.
Translated by Eddy Chang
I came to Taiwan to pursue my degree thinking that Taiwanese are “friendly,” but I was welcomed by Taiwanese classmates laughing at my friend’s name, Maria (瑪莉亞). At the time, I could not understand why they were mocking the name of Jesus’ mother. Later, I learned that “Maria” had become a stereotype — a shorthand for Filipino migrant workers. That was because many Filipino women in Taiwan, especially those who became house helpers, happen to have that name. With the rapidly increasing number of foreigners coming to Taiwan to work or study, more Taiwanese are interacting, socializing and forming relationships with
Earlier signs suggest that US President Donald Trump’s policy on Taiwan is set to move in a more resolute direction, as his administration begins to take a tougher approach toward America’s main challenger at the global level, China. Despite its deepening economic woes, China continues to flex its muscles, including conducting provocative military drills off Taiwan, Australia and Vietnam recently. A recent Trump-signed memorandum on America’s investment policy was more about the China threat than about anything else. Singling out the People’s Republic of China (PRC) as a foreign adversary directing investments in American companies to obtain cutting-edge technologies, it said
The recent termination of Tibetan-language broadcasts by Voice of America (VOA) and Radio Free Asia (RFA) is a significant setback for Tibetans both in Tibet and across the global diaspora. The broadcasts have long served as a vital lifeline, providing uncensored news, cultural preservation and a sense of connection for a community often isolated by geopolitical realities. For Tibetans living under Chinese rule, access to independent information is severely restricted. The Chinese government tightly controls media and censors content that challenges its narrative. VOA and RFA broadcasts have been among the few sources of uncensored news available to Tibetans, offering insights
Chinese social media influencer “Yaya in Taiwan” (亞亞在台灣), whose real name is Liu Zhenya (劉振亞), made statements advocating for “reunifying Taiwan [with China] through military force.” After verifying that Liu did indeed make such statements, the National Immigration Agency revoked her dependency-based residency permit. She must now either leave the country voluntarily or be deported. Operating your own page and becoming an influencer require a certain amount of support and user traffic. You must successfully gain approval for your views and attract an audience. Although Liu must leave the country, I cannot help but wonder how many more “Yayas” are still
RSS