That is just China's general rules around tech. Awful? Yes. But not a global issue. Most non-chinese companies are forced to have their chinese properties ran by a chinese company. This is shown by companies like VW having cars made in china with effectively a license model, these cars are designed and built by a third party with a few interesting exceptions (VW actually licensed a design, the Taos, back and shipped it worldwide)

The insane overreach was the UK wanting data on people not in the UK