China is building more legal tools for foreign-related disputes. What does it mean for companies, individuals?

China is drafting new legislation that would empower public prosecutors to sue foreign organizations and individuals for harming national interests. This move is seen as part of a broader strategy to strengthen domestic legal tools against external pressures like sanctions.
Why it matters
The law could significantly increase legal risks for international companies and individuals operating in or dealing with China, reflecting rising geopolitical tensions.
A draft law submitted for second reading in June would allow China’s public prosecutors to sue foreign organisations and individuals deemed to have harmed national or public interests.
Supreme People's Procuratorate Procurator-General Ying Yong addresses the 16th National Conference on Procuratorial Work in Beijing, China, on Jul 16, 2026. (Photo: WeChat/Supreme People's Procuratorate) New: You can now listen to articles. This audio is generated by an AI tool.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in