BlackRock Bans Employees from Carrying Phones and Laptops to China Amid Rising US-China Tensions
BlackRock bans company devices in China, requiring loaner phones amid rising US-China tensions and strict data security laws.
BlackRock restricts employees from carrying company laptops and phones to China, enforcing loaner devices amid data security concerns.
BlackRock, the world’s largest asset manager, has rolled out strict new policies for employees traveling to China, citing data security concerns and escalating geopolitical tensions. Staff members are now prohibited from taking company-issued laptops and mobile devices into the country and must rely on temporary loaner phones during business trips.
New Security Measures Effective July 16
According to reports from Bloomberg and Reuters, BlackRock’s internal memo outlines a “policy enhancement” that restricts the use of iPhones, iPads, laptops, and virtual private networks (VPNs) while employees are in China. Access to BlackRock’s internal network will also be blocked for staff traveling to the country, including personal trips.
Rising Corporate Caution Amid Tensions
The decision reflects growing apprehension among global firms operating in China, as relations between Washington and Beijing remain strained. BlackRock’s move follows a series of incidents where Western executives faced travel restrictions in China. Recently, Wells Fargo suspended employee travel after one of its senior bankers, Chenyue Mao, was blocked from leaving the country in what Beijing described as a criminal case.
Earlier this month, China also prevented a US Patent and Trademark Office employee and a US Commerce Department worker from leaving during personal visits, adding to corporate unease.
Challenges with China’s Data Security Laws
China’s stricter data security regulations, implemented in 2021, have forced global financial institutions to establish costly onshore data centers to store information locally. These measures have complicated operations for firms like BlackRock, which has a significant footprint in China through a mutual fund company and a joint venture with China Construction Bank Corp.
Amazon Closes AI Lab in Shanghai
In related developments, Amazon has shut down its AI lab in Shanghai amid the ongoing US-China tech rivalry. The lab, launched in 2018, contributed to over 100 academic papers and helped develop a neural network framework generating nearly $1 billion in sales. The closure, confirmed by scientist Wang Minjie via WeChat, marks the end of what he described as the “golden era of foreign research labs” in China.
