France, May 23 -- The European Union on Friday urged China to respect Hong Kong's freedoms after Beijing proposed a new security law, while the US announced sanctions. China's National People's Congress (NPC) announced the measures following pro-democracy protests in the semi-autonomous territory. If implemented, the regulations may trigger a new wave of demonstrations.

The NPC, which opened on Friday, dropped a bombshell when it moved to introduce a proposal to impose a security law for Hong Kong.

Wang Chen, an NPC Standing Committee Vice Chairman, referring to a recent series of demonstrations in the territory, said that "the increasingly notable national security risks in the HKSAR have become a prominent problem," forcing Beijing to...