Most American companies don’t know they’re breaking these China data laws.
If you’re transferring personal data out of China without explicit, informed consent, you’re already on thin ice, and it could cost you millions.
Many companies believe their GDPR compliance is enough to cover their China operations. It’s not.
China’s data protection laws are fundamentally different, far stricter, and carry joint liability that can catch even seasoned compliance teams off guard.
Here are four critical areas where US businesses often fall short:
Consent for Cross-Border Data Transfers: Under China’s Personal Information Protection Law (PIPL), you must obtain clear, informed consent from individuals before transferring their data abroad. No shortcuts.
Security Assessments for Important Data: Transferring certain sensitive or “Important Data” requires prior approval from Chinese regulators. Skipping this step is a major violation.
Joint Liability of Data Roles: Unlike GDPR, China’s laws don’t distinguish between data controllers and processors , both can be held equally responsible for compliance failures.
Data Localization Requirements: Some data must be stored and processed within China. Ignoring this can trigger fines and operational restrictions.
The reality? Assuming your existing data policies meet China’s rules puts your business at risk every single day.
The question you need to ask: How sure are you that your China data operations truly comply with local laws?
Drop a comment or DM if you want to talk about the compliance gaps you’ve found, or how to fix them before it’s too late
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