Recently, China has been accused of being a surveillance state that collects personal data on a massive scale and implements data authoritarianism. Authorities have recently issued their first document at the central level to promote the development and utilization of public data resources. The CCP established the National Data Management Bureau last year and earlier this year uncovered that multiple departments were profiting illegally from government data totaling 2.48 billion Chinese yuan. Experts point out that the CCP monopolizes public data at the national level, making it a source of profit, while the people have no privacy or security in an authoritarian regime.
In an announcement on October 10th, the State Council Information Office and the State Council Office released the “Opinions on Accelerating the Development and Utilization of Public Data Resources,” stating that data generated by all party and government agencies and enterprises during the process of performing duties or providing public services is an essential strategic resource for the country. The official document emphasizes the need to regulate the operation of public data authorization and stresses the comprehensive leadership of the Party in data work.
According to an article by the People’s Daily, this is the first time the central level of the CCP has systematically deployed the development and utilization of public data resources to “accelerate the release of the value elements of public data.”
In a rare move in June, the CCP authorities have admitted that several departments were profiting illegally from government data. An audit report revealed that seven operation units from four departments determined data content, service forms, and fee standards without approval, resulting in a total revenue of 2.48 billion yuan.
Media reports highlight that this report likely refers to profit-making activities related to providing paid information services to the public. For example, citizens may need to pay a fee through specific websites to access certain information.
An analysis by a mainland Chinese lawyer cited by the Taiwan Institute for National Defense and Security Studies’ Cyber Security Department indicates that the CCP’s official stance on data is that all data generated by its people, whether inside or outside the country, should belong to the government. The concept of data sovereignty in China is top-down, with the government having the ultimate say over data utilization and profit-making.
After experiencing stringent lockdowns during the COVID-19 pandemic from 2020 to 2022, China’s economy has stagnated in recent years, leading to financial difficulties. CCP state media has previously mentioned a shift from a “land-based finance” model to a “data-based finance” model in some regions.
The establishment of the National Data Bureau last year was seen as an urgent measure by the CCP to boost the economy post-pandemic through data-driven digital economic development. However, experts suggest that this move is not a direct solution to China’s economic woes but rather an accelerator for the digital economy.
According to analysts, the role of the National Data Bureau is not to regulate data but to profit from it. By using vast amounts of data to engage in other profit-making activities, the bureau aims to leverage data as a new source of revenue.
Furthermore, in line with CCP’s directives, only the government has the authority to “develop and utilize” public data resources. By designating public data as a “national fundamental strategic resource,” the CCP monopolizes it, turning it into a potential source of profit.
The CCP emphasizes in its documents that it aims to “promote orderly development and utilization” of public data while maintaining national data security, protecting personal information, and trade secrets.
China has been heavily criticized by human rights organizations for developing into a surveillance state with data authoritarianism. The CCP’s move to further exploit public data resources for commercial purposes raises concerns about potential further violations of citizens’ privacy rights.
According to a report by state media, Zhang Wang, the director of the Data Resource Department of the National Data Bureau, mentioned that the deeper the utilization of data resources, the stronger the need for data security and personal information protection.
Experts caution that while the CCP highlights the importance of data security and personal information protection, once authorities invoke national security reasons, individuals may have little recourse. Users must be wary as national security laws could be used to infringe on privacy rights.
In a democracy, personal data is protected under clear regulations, such as the General Data Protection Regulation (GDPR) in the European Union, which ensures data privacy and corporate responsibility. In contrast, the CCP’s approach shows a fundamental difference in how human rights are treated between democratic and communist countries, with personal data usage requiring explicit consent in democratic settings.
Experts stress that the CCP’s emphasis on enhancing data security and personal information protection may be merely a facade to appease the public and international community. Given that public data development and utilization are driven by the CCP, which has the final say on what data can be traded and used, coupled with the overarching tag of “national security,” it becomes challenging to counter claims of data security and personal information protection.
Analysts indicate that using public data raises concerns about non-confidential data that should not be publicly accessible. In a legitimate state, data related to individuals should be protected, and individuals should have the right to request the removal of any data that is linked to their privacy. This concept is generally bottom-up in democratic countries like the European Union. In contrast, China’s top-down approach dictates that all data produced is subject to government control. Therefore, individuals in China have limited privacy rights, with the government having the authority to access their online activities.
In conclusion, amid the CCP’s push to exploit public data resources, concerns about data security, personal information protection, and potential privacy infringements continue to mount. The disparities between how democratic and authoritarian regimes treat human rights, particularly the utilization of personal data, underscore the need for heightened vigilance among internet users and broader scrutiny on the impact of data-driven policies in China.