23 Feb 2018
New List of Overseas Investment Prior Approval Sectors Published
A full list of the sectors where overseas investment requires prior official approval has been published by the National Development and Reform Commission (NDRC). Among the restricted sectors designated in the list – The Catalogue of Sensitive Sectors for Overseas Investment (2018) – are weaponry, water resources and news-focused media. As well as those sectors that are wholly-proscribed, the listing also highlights six sectors where only limited overseas investment is to be permitted – real estate, hotels, cinemas, entertainment, sports clubs and equity funds / investment platforms without specific industrial projects.
This new catalogue is in compliance with the NDRC’s previously-adopted Measures for the Administration of the Overseas Investment of Enterprises, which comes into force as of 1 March this year. Under the terms of its remit, all projects deemed to be sensitive – whether on nationality, regional or sector-related grounds – require official approval, regardless of whether they have been directly initiated by a mainland investor or conducted via an overseas subsidiary. Aside from these designated sectors, any investment in non-sensitive industries or locations requires companies to solely maintain and file the appropriate records.
For further details, please visit the following links: