The suspension comes six months after the Chinese government launched a new distribution system, where foreign TV channels are broadcast from a state-owned satellite.
In a statement, BBC World said: "We are aware that an item, which appeared on BBC World on Sunday June 30/Monday July 1, has caused some concern to the Chinese authorities with the result that they have temporarily suspended the encrypted transmission of the BBC World channel via the Chinese Sinosat 1 satellite in China."
It added: "We are seeking to understand in more detail the precise nature of their concerns and to see if they can be resolved in a positive and constructive manner."
At the moment, the reasons for the suspension are not clear, nor has the station been given any idea of how long it will be in force.
Falun Gong is a spiritual movement that has come under close scrutiny by the communist government in China. It has been banned since 1999 and some of its followers imprisoned and tortured.
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