Authored by:Liu Haitao (Harry) Yang Haiyan Luo Chenchen Pan Chenyu Li Ange
On April 26th, 2023, the amended Counterespionage Law of the People’s Republic of China (the “Counterespionage Law”) was officially promulgated and will come into effect on July 1st. The newly amended law has attracted wide attention both in the legal practice field and among enterprises. Meanwhile, the recent media coverage has disclosed a series of law enforcement by the Chinese government and called out certain consulting firms for “being lack of consciousness on the national security” and “frequently walking on the edge of law”, arousing widespread concern and discussions. What changes have been made to the Counterespionage Law? What kinds of business activities of foreign investors in China need to be carried out with an eye on the new law? Has the investigating and consulting industry shut its door to foreign investors?