The European Chamber of Commerce in China still has concerns about China's new counter-terrorism law despite some of the more contentious cyber elements of it being dropped…The [new] controversial law…requires technology firms to help decrypt information, but not install security "backdoors" as initially planned. A provision in an initial draft that would require companies to keep servers and user data within China was also removed from the final law.

"The European Chamber recognises the positive developments in terms of removing the language that required the submission of encryption codes and server/data localization from the final version," it said in a statement. Much will depend on the implementation, it said. "Some concerns remain over issues such as market access, intellectual property rights, and the obligation to monitor, report and censor terrorist content," the statement said…

China's government has said companies need not fear the law, saying intellectual property rights would be respected and that many Western countries had similar laws…The law had attracted deep concern in Western capitals, not only because of worries it could violate human rights such as freedom of speech, but because of the cyber provisions…