European and US companies have asked their governments for urgent help in stopping the implementation of new Chinese cyber security regulations, which are expected to force local and foreign banks to use information technology equipment deemed “secure and controllable” by Beijing.

In a letter to the European Commission dated February 25 and seen by the Financial Times, six business organisations led by Business Europe and The City UK said the “worrisome” Chinese regulations “could close the door for many foreign IT companies to the Chinese banking IT market”.

The business groups warned that if fully implemented, the policies “will not only undermine the ability of European companies to participate in the IT market in China and to serve banks in general?.?.?.?but also hurt the development and integration of the Chinese banking sector in the global market”.