China’s tough cyber rules raise risk of infiltration, US business group says
US-China Business Council says Beijing’s demands on localising data and revealing source codes raise the threat of security breaches
A leading US business group has urged Beijing to loosen limits on data flow and storage that raise the risk of security breaches for foreign companies.
The call from the US-China Business Council is part of a series of detailed recommendations to the Chinese government in response to its controversial cybersecurity law, which came into effect in June.
In a report released on Monday, the council said China should follow best international practice by opening access to cloud computing services, levelling the playing field in technology procurement and allowing foreign firms to send copies of data abroad for analysis and processing.
It suggested the government narrow the definition of national security and state secrets, and have a clear system for appeals against data export security reviews.
The call comes as Washington is mulling retaliation over what it says are Beijing’s discriminatory industrial practices and intellectual property theft.
