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They'll almost certainly hand over user data to the central government. They're required to partner with a Chinese firm, and this is a fairly common practice among Chinese technology companies.

> But is Google planning to hand over lists of users who search for banned terms?

Yes? That's so obvious I'm a little stunned you're even asking. If the government orders them to hand over that information, they won't have any choice.

> It seems like there's a big difference between handing over lists of users and restricting information.

I think what you're not understanding is it's not Google doing this vs that, it's Google doing what they are told, whatever that may be, or leaving.