China is scratching its head over why the U.S. is opposing a new anti-terror law relating to cybersurveillance when the U.S. and other countries have also requested that tech companies hand over data to help stop terrorists.

On Wednesday, China’s parliamentary spokeswoman tried to play down the impact the proposed legislation might have on foreign tech businesses, in the face of U.S. fears it would require companies to hand over sensitive data to the country’s government.

The anti-terror law is still under review, but if passed, it would require tech companies to give encryption keys to the authorities, and create “back doors” into their systems for government surveillance access.

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