China issues guidelines to attract foreign investment
On 17 January 2017, the State Council issued a circular that provides measures to boost foreign investment.
The government decided to revise the Catalogue for the Guidance of Industries for Foreign Investment, and to further open the service, manufacturing and mining sectors. Also, the government called for creating a market environment of fair competition, which requires related departments to examine the business licenses and qualification requirements for foreign-invested enterprises by the same standards and processing timetable as those for domestic-invested enterprises.
In addition, the circular calls for more efforts to attract foreign investment, allowing local governments to formulate favorable policies to support foreign-invested projects. For example, foreign-invested enterprises in supported industries in western regions will enjoy preferential tax treatment.
The circular instructs related ministries to draft detailed rules without giving a timeline.
Type: Entry and establishment (Ownership and control), Treatment and operation (Non-discrimination), Promotion and facilitation (Investment incentives)
Industry: Not industry specific
- The State Council, China lays out plan to boost foreign investment, Jan 17, 2017
- The State Council (in Chinese), 国务院关于扩大对外开放 积极利用外资若干措施的通知, Jan 17, 2017
- Bloomberg, China Charts Course for Opening to More Foreign Investment, Jan 18, 2017