China passes major data protection law as regulatory scrutiny on tech sector intensifies

CNBC reports that China passed a major data protection law, setting out tougher rules on how companies collect and handle their users’ information. The rules add to Beijing’s tightening of regulation, particularly around data, which could impact the way China’s technology giants operate.

The Personal Information Protection Law (PIPL) lays out for the first time a comprehensive set of rules around data collection, processing and protection, that were previously governed by piecemeal legislation.

After several drafts, the PIPL was passed by China’s legislature on Friday, according to state media. However, the final version of the law has not yet been published.

The PIPL comes as China’s regulatory scrutiny on the country’s technology companies intensifies. With the PIPL, alongside the country’s Cybersecurity Law and Data Security Law, China has beefed up its data regulation.

“The release of the PIPL completes the trifecta of China’s foundational data governance regime, and will usher in a new age of data compliance for tech companies,” said Kendra Schaefer, Beijing-based partner at Trivium China consultancy.