China has promulgated a revised version of its Anti-Espionage Law which greatly increases the scope of activities that could be deemed sensitive to national security and heightens risks for companies doing business in China.
The extent to which the state security apparatus will use the law is still unclear, but a string of investigations into foreign firms prior to its implementation suggests that China’s focus on security is trending upward.
It is becoming more difficult for foreign businesses to understand China from the outside, as the line between legally obtaining and sharing information and undermining China’s national security blurs.