What is the law on trade secrets in China?

In China, trade secrets are legally protected by the Anti-Unfair Competition Law and the Regulations on the Protection of Trade Secrets. This law regulates the acquisition, use and disclosure of trade secrets to protect the legitimate rights and interests of companies and their owners. Under the law, trade secrets refer to any confidential business or technical information that bring economic benefit to its holders. It can range from the formulas or technologies used to manufacture a product to the materials or equipment used in the manufacturing process, and the terms of service contracts. Trade secrets are only protected if they are not generally known or easily accessible to others, if the holder has taken reasonable steps to protect its secrecy, and if the holder has used the trade secret in their business. The law outlines specific activities which constitute an illegal acquisition of trade secrets. These include stealing trade secrets, obtaining trade secrets through improper means, and inducing or forcing someone to disclose trade secrets without their consent. In addition, the law prohibits using trade secrets that are illegally acquired or already known. Anyone found to have broken the law can face criminal and civil penalties, including fines, confiscation of any illegal income, and compensation for the damages caused to the trade secret holder. Companies and individuals that breach the trade secret law can also face severe punishment, such as imprisonment or fines.

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What is the law on trade secrets in China?

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