As someone brought up in the UK, it is difficult to imagine that we would voluntarily agree to handing unfettered access to our data to the UK security services. China's new laws require software vendors to enable exactly this by handing over the encryption keys to the government agencies. Non-Chinese software vendors will see this as protectionism.
China is also asking that tech companies adopt Chinese encryption algorithms and disclose elements of their intellectual property. The new requirements, laid out in a 22-page document approved late last year, are supposedly geared towards strengthening the cyber security of critical Chinese industries and guarding against terrorism. In an interview with Reuters, Obama said Beijing's far-reaching counter-terrorism law would require technology firms to hand over encryption keys as well as installing "backdoors" into systems, thus granting Chinese authorities access in the process.