China’s data regulations need more ‘clarity’, EU companies say in survey
- Member companies of an EU business association have asked for more detail on key terminology in China’s data security rules
- Perceived ambiguities have increased compliance costs and a heftier burden on business operations, according to a representative survey
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EU firms have expressed worries over the scope of China’s regulations on data security. Photo: Shutterstock](https://cdn.i-scmp.com/sites/default/files/styles/1200x800/public/d8/images/canvas/2023/11/14/067c2324-b553-4229-8f4f-7d44b5854bde_28abc3f5.jpg?itok=YatbdRc6&v=1699959146)
A decisive majority of European companies has expressed a desire for China’s cybersecurity regulators to clarify legislation on cross-border data transfers to mitigate uncertainties in business operations and reduce compliance costs, according to survey results published on Wednesday.
The poll, conducted by the European Union Chamber of Commerce in China, showed that 81 per cent of participating companies would like further clarification on what constitutes “important data”, 59 per cent wanted the same for “personal information” and 39 per cent were hazy on the definition of “critical information infrastructure”.
Each of these terms appears prominently in the text of pertinent regulations, and an acute understanding of their meaning is essential for adherence.
Of the chamber’s more than 1,700 member companies, 762 were asked 19 questions from October 16 to 27. The poll was administered as Beijing intensifies its efforts to build a framework for data security through legislation, viewed as crucial for boosting the country’s digital economy and safeguarding national security.
“European companies would welcome more clarity on key terms related to cross-border data transfer, including precise definition of both ‘important data’ and ‘personal information’”, the chamber said in its published report on the survey.
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Additionally, 41 per cent of companies in the survey said they would prefer any proposed new rules on cross-border data transfers to be synchronised with existing statutes.
