China Released Provisions on the Protection of Trade Secrets

Article by CNBW member CMS


On 24 February 2026, the State Administration for Market Regulation ("SAMR") officially released the Provisions on the Protection of Trade Secrets ("PPTS"). The new regulation will come into effect on 1 June 2026.

1. Background
In 1995, the former State Administration for Industry and Commerce issued the Provisions on Prohibiting Acts of Infringing Trade Secrets. The provisions were slightly revised in 1998 and remained in force until now.

As the SAMR recognized that these provisions could no longer meet the needs of trade secret protection in the digital economy, it first issued a draft PPTS for public comment in 2020. The revision was then suspended to align with the 2025 amendments to the PRC Anti-Unfair Competition Law ("AUCL"). In 2025, the SAMR solicited public comments on the PPTS again. On 24 February 2026, the
SAMR ultimately released the PPTS officially.

Based on the AUCL and the Provisions of the Supreme People's Court on Several Issues concerning the Application of Law in the Trial of Civil Cases of Trade Secret Infringement ("Judicial Interpretation on Trade Secrets", effective 2020), the PPTS systematically elaborates on infringing acts, legal liabilities and other key matters. These revisions strengthen the application of the PPTS and provide enterprises with practical guidance for trade secret protection.

2. Key Revisions
a) Elevation of jurisdiction and extraterritorial jurisdiction
Currently, acts of trade secret infringement are handled by departments at the county level or above of the Market Supervision of Administration ("MSA"). However, in practice, trade secret cases often involve the determination of complex technical information. It imposes high demands on the professional competence and practical experience of law enforcement officers. Therefore, Article 3 of the PPTS stipulates that such cases shall generally fall under the jurisdiction of departments at the city level with districts or above of the MSA. Only with the approval of the SAMR, the county level departments could handle the related cases.

Furthermore, Article 29 of the PPTS explicitly establishes the extraterritorial effect of the PPTS. Trade secret infringements committed outside the PRC that disrupt the Chinese market or harm Chinese businesses shall also be governed by the AUCL and relevant regulations.

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Contact:
Panpan Tang
Counsel, CMS, China
+ 86 21 6289 6363 / panpan.tang@cmslegal.cn

Daisy Lv
Junior Associate, CMS, China
+ 86 21 6289 6363 / daisy.lv@cmslegal.cn