BlackRock, the world’s largest asset manager, has imposed new restrictions on company-issued devices for employees traveling to China, requiring staff to use temporary loaner phones and prohibiting company laptops during business trips, according to Bloomberg News and Reuters reports.The financial giant detailed the “policy enhancement” in an internal memo effective July 16, barring the use of BlackRock-issued iPhones, iPads, laptops, and remote access via virtual private networks while in China. Employees will also lose access to the BlackRock network during personal travel to the country, Bloomberg reported.
Growing corporate caution as US-China tensions rise
The move reflects mounting corporate anxiety about business operations in China as geopolitical tensions between Washington and Beijing continue to strain international business relationships. BlackRock did not immediately respond to requests for comment from either Reuters or Bloomberg.The restrictions come after a series of high-profile incidents involving Western business executives being prevented from leaving China. Wells Fargo suspended travel to China last week after one of its senior trade financing bankers, Chenyue Mao, was blocked from departing the country in what Beijing’s foreign ministry described as a criminal matter.Earlier this month, China also prevented a US Patent and Trademark Office employee from leaving during a personal visit, while a US Commerce Department worker has reportedly been unable to leave China for several months.
Asset managers navigate data security challenges
Since China implemented stricter data security laws in 2021, global financial firms have struggled to balance operational needs with compliance requirements. Many banks and asset managers have established onshore data centers to keep Chinese information within the country, adding significant costs and complicating business management.BlackRock maintains a substantial presence in China through a wholly owned mutual fund company and a wealth management joint venture with China Construction Bank Corp. The firm’s new travel policy reflects the broader challenges facing global financial institutions operating in an increasingly complex regulatory and security environment between the world’s two largest economies.
