The Data Security Law, known as DSL, is a key law in China that regulates how all types of data must be protected. It requires companies to classify data based on its importance to national security and public interests. More important data requires stronger protection measures.

The DSL applies not only to personal data but also to business and industrial data. Companies must conduct risk assessments, establish internal security systems, and report serious data incidents.

Cross border data transfers may require additional approvals. The law gives authorities wide power to investigate and impose heavy penalties. Businesses must carefully review how they manage data under DSL requirements.