US government can now block data sales to China and other rivals

The Justice Department has proposed new rules to stop certain countries and people from accessing sensitive US personal data and government-related data. This means the government can now block specific data transactions with named foreign adversaries.

For years, foreign governments could buy large datasets of US personal information from data brokers, often without legal restriction. This proposed rule aims to close that loophole, treating bulk data as a national security asset. It means companies that collect or sell sensitive US data will need to vet their customers more carefully, especially if those customers are linked to countries of concern.