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U.S. Trade Negotiators Take Aim at China’s Cybersecurity Law

Apr 01 , 2019

U.S. and Chinese trade negotiators haggled over how to get Beijing to walk back China’s tough cybersecurity law as both sides push to resolve deep-seated irritants and settle a yearlong tariff fight.

During discussions Friday, issues related to Chinese regulations of information security and cross-border data flows, as well as high-tech sectors such as cloud computing, crowded the negotiation agenda, said people briefed on the matter. The Trump administration has been pressing China to loosen restrictions that U.S. companies, especially large technology firms, say unfairly disadvantage them in the world’s second-largest economy.

The cybersecurity law presents a significant challenge for U.S. businesses operating in China, Washington officials have said, as it requires them to store sensitive data in China and to favor Chinese network equipment over foreign ones.

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