The US has issued a warning to firms over the risks of doing business in Hong Kong after China imposed a new national security law there last year.
A new business advisory tells multinational firms that they are subject to the laws and that their people could be arrested under them.
Other risks may include having to surrender data to Chinese authorities.
US President Biden said on Thursday that “the situation in Hong Kong is deteriorating”.
Ahead of the business advisory being issued by the departments of State, Treasury, Commerce and Homeland Security, the president warned: “The Chinese government is not keeping its commitment that it made, how it would deal with Hong Kong”.
The national security law was introduced in Hong Kong last year after protests over an extradition law turned violent and evolved into a broader anti-China and pro-democracy movement. It makes it easier to punish protesters and reduces the city’s autonomy, BBC reported.
The advisory covers several other areas including freedom of the press, data privacy and sanctions imposed by both sides.
As part of the update on Friday, the US also announced sanctions against seven Chinese officials over what it describes as an “erosion of the rule of law”.