Vietnam sheds light on impending cybersecurity law

Vietnam recently issued a draft decree that clarifies the scope of its impending cybersecurity law and its impact on foreign businesses.

  • The law is set to go into effect on January 1, 2019, though the implementation of certain requirements that impact foreign companies the most will likely be delayed.
  • Unlike other cybersecurity and data privacy laws passed this year, which were inspired by Europe’s GDPR, Vietnam’s law emulates the cybersecurity regulations in place in China, and it creates a mechanism for the government to control the flow of information, including through a data localization requirement.
  • Businesses providing services in “cyberspace” will have to meet the law’s obligations, and in some cases, may even be required to establish local offices in Vietnam.

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