23 Oct 2017
Foreign Investment Negative List Set for National Rollout
The foreign investment negative list, currently adopted in the Pilot Free Trade Zones, is set to be implemented on a nationwide basis. The plan was announced in the State Council’s recently published Circular on Several Measures for Promoting the Growth of Foreign Investment and is intended to further enhance openness, transparency and the overall regulation of the investment environment.
With particular regard to further extending the sectors eligible for foreign investment, a number of key areas have been designated as priorities. These include the manufacture of special-purpose vehicles / new-energy vehicles, ship design, aircraft repair, international maritime and rail passenger transport, gas stations, business premises offering internet access, call centres, performance brokerage agencies, banking, securities and insurance. An exact schedule for the opening up of all of these sectors is to be published at a later date.
Among a number of additional measures announced were improvements to the system for recruiting overseas personnel, particularly in the case of senior staff, and a facility for the outward remittance (in either renminbi or in a designated overseas currency) of profits, dividends and any other income due to foreign investors in accordance with the prevailing legal requirements. Moves are also to be made to incentivise overseas investors into participating, where appropriate, in the optimisation and reorganisation of domestic enterprises.
For further details (in Chinese), please refer to the following link: