China's anti-espionage law set to 'politicize' business

Foreign chambers say legislation will affect investment decisions

20230628 Beijing's Central Business District

People walk in Beijing's Central Business District on June 21. © Reuters

CK TAN and SHUNSUKE TABETA, Nikkei staff writers

BEIJING -- Foreign companies are in a bind as China's new anti-espionage law comes into effect on Saturday.

The leaders of the two largest business groups in China for overseas companies say that implementation of the hazily defined legislation will further shake business confidence that has already been rocked by geopolitical tensions between Beijing and Washington.

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