Against the backdrop of increasingly tense China-US relations and a growing number of cases involving suspected espionage activities, multinational enterprises outside China (foreign enterprises) should pay particular attention to related compliance risks. The New Anti-Espionage Law, which will take effect on July 1, 2023, expands the scope of espionage activities, establishes broad criteria for determining espionage behavior, grants extensive investigative power to national security agencies, and clarifies the legal liability for espionage activities. © 2023 Morgan Lewis CHINA’S NEW ’ANTI-ESPIONAGE LAW’ RAISES COMPLEX COMPLIANCE ISSUES FOR MULTINATIONAL CORPORATIONS May 2023 © 2023 Morgan Lewis 2 CHINA’S NEW ‘ANTI-ESPIONAGE LAW’ RAISES COMPLEX COMPLIANCE ISSUES FOR MULTINATIONAL CORPORATIONS The Second Session of the Standing Committee of the 14th National People’s Congress voted and passed on Apthe newly revised “Anti-Espionage Law of the People’s Republic of China” (the New Anti-Espionage Law). Links provided from outside sources are subject to expiration or change. Prior results do not guarantee similar outcomes. This report is provided for your convenience and does not constitute legal advice or create an attorney-client relationship.

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