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AI law comparison · Data verified 2026-08-22

China Data Security Law vs China PIPL

China Data Security Law and China PIPL are two of the 169 AI and data regulations Aegis Firma tracks. They have different scopes, effective dates, and penalties — and many businesses fall under both. Here is the side-by-side, drawn directly from the regulatory registry.

Find which laws apply to my business

Side by side

Attribute
China Data Security Law
China PIPL
Region
CN
CN
Effective date
2021-09-01
2021-11-01
Enforcement begins
Who must comply
DSL applies to: (1) data processing activities within China; (2) data processing activities outside China that harm China's national security, public interests, or Chinese citizens'/organizations' rights. "Data" means an…
Extraterritorial reach: applies to processing of personal information of persons within China regardless of where the processing entity is located. Two bases for extraterritorial application: (1) providing products or se…
Maximum penalty
¥2,000,000–¥10,000,000 (general violations); ¥5,000,000–¥50,000,000 (important data violations); service suspension; individual liability
¥50,000,000 or 5% of annual revenue (whichever is higher); service suspension; individual liability for responsible persons up to ¥1,000,000
Compliance requirements
4 tracked
5 tracked
Enforcement actions on record
1
1
Data last verified
2026-08-22
2026-08-22

Summary of publicly available regulatory text. Verify against current official sources before relying on this for compliance decisions. Not legal advice.

The key difference

China Data Security Law takes effect first, so it is usually the more urgent of the two. China Data Security Law tracks 4 compliance requirements and China PIPL tracks 5. They are not interchangeable — meeting one does not discharge the other. The practical question is not which law is “stricter,” but which of them — or both — actually applies to your business.

CN

China Data Security Law (DSL)

China's Data Security Law (DSL, effective September 1, 2021) establishes a data classification and tiered protection system based on data's importance to national security and economic development. DSL applies to all data processing activities within China and extraterritorially when data processing outside China "harms China's national security, public interests, or the lawful rights and interests of Chinese citizen…

Full China Data Security Law requirements
CN

China Personal Information Protection Law (PIPL)

China's Personal Information Protection Law (PIPL, effective November 1, 2021) is China's primary personal data protection law, comparable in scope to GDPR but with distinct Chinese characteristics. PIPL directly affects AI systems by: requiring consent for AI profiling, mandating transparent disclosure of automated decision-making, prohibiting unreasonable differentiated treatment (pricing discrimination), and impos…

Full China PIPL requirements

Common questions

Could both China Data Security Law and China PIPL apply to my business?

Yes. China Data Security Law and China PIPL are separate regulations with separate scopes — a business can fall under both at once. China Data Security Law covers DSL applies to: (1) data processing activities within China; (2) data processing activities outside China that harm China's national security, public interests,… China PIPL covers Extraterritorial reach: applies to processing of personal information of persons within China regardless of where the processing entity is located. If your operations meet both scopes, you must comply with both. Aegis Firma's free scan checks all 169 tracked regulations against your business profile so you do not have to read each law to find out.

Which has the higher maximum penalty — China Data Security Law or China PIPL?

China Data Security Law: ¥2,000,000–¥10,000,000 (general violations); ¥5,000,000–¥50,000,000 (important data violations); service suspension; individual liability China PIPL: ¥50,000,000 or 5% of annual revenue (whichever is higher); service suspension; individual liability for responsible persons up to ¥1,000,000 Penalty structures differ by regulator and violation type — read each law's full page for the cure periods and per-violation detail.

When does each law take effect?

China Data Security Law — effective 2021-09-01. China PIPL — effective 2021-11-01. Dates last verified against official sources on 2026-08-22 and 2026-08-22 respectively.

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