Alibaba And Other Chinese Tech Companies Brace For More Trouble As China Declares Launch Date For Data Export Rules

China's cyberspace regulator informed that rules requiring data exports to undergo security reviews would be effective from September 1, Reuters reports.
The regulator disclosed publishing the details of a new compulsory security review to determine the eligibility for overseas transfer of Chinese user data in possession of a private entity.
Since January 1, 2021, companies or entities that have sent abroad the personal information of 100,000 or more users, or "sensitive" personal information belonging to 10,000 or more users, would also have to undergo the CAC security review.
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The Cyberspace Administration of China (CAC) previously shared the draft rules.
Last July, CAC prohibited Full Truck Alliance Co Ltd YMM, Kanzhun Ltd BZ, and ride-hailing giant DiDi Global Inc DIDIY from registering new users, citing national security concerns following cybersecurity probes into the companies.
Full Truck Alliance and Kanzhun resumed new user registration last week.
Companies ranging from Alibaba Group Holding Limited BABA, Baidu, Inc BIDU, and JD.com, Inc JD collect troves of user data, potentially posing a data transfer risk considering their overseas involvement.
Price Action: BABA shares traded higher by 1.58% at 121 in the premarket on the last check Thursday.