China is the world’s second largest economy, with an annual growth rate of more than eight percent and a rapidly growing middle class. Foreign investment into China routinely exceeds US$100 billion a year. Businesses from all over the world must have a China strategy to remain competitive and succeed in the global marketplace. This brief will cover the key corporate compliance issues for companies using the Internet as part of their business in and with China. More detail is available at any time from our China Team. Your attention is called to the disclaimer at the foot of this brief.

PRC regulation of the Internet is not applied extraterritorially. As a practical matter, however, all Internet traffic in China is monitored by and subject to interruption by the PRC authorities. Compliance officers therefore need to be aware of PRC sensitivities with regard to Internet operations even if PRC law does not technically apply to their companies.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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