China launches crackdown on trade secret leaks in AI and high-tech sectors

China has launched a new campaign to tighten controls over the sharing of trade secrets, as Beijing pushes to protect its high-tech industries and reduce reliance on foreign technology.

The month-long campaign, announced on Monday by a national watchdog, will focus on key sectors including artificial intelligence, biomedicine and integrated circuits, state news agency Xinhua reported.

Authorities said they would step up investigations into employees accused of taking trade secrets to new jobs, as well as companies involved in “malicious poaching”.

The campaign coincides with new regulations on trade secret protection coming into effect. According to state broadcaster CCTV, the rules are the first in China to explicitly include data and algorithms as confidential information.

They also introduce stricter measures for remote and cross-border work, including closer scrutiny of electronic devices and workspaces.

Departing employees are required to destroy any trade secrets in their possession and remain bound by confidentiality obligations.

The move comes amid intensifying technological rivalry between China and the United States, particularly over advanced chips and artificial intelligence. In April, the White House accused Chinese entities of large-scale attempts to steal US technology, allegations Beijing has rejected.
(AFP)