ANNOUNCEMENT 30 Jul 2017
July 30, 2017 - The Chinese Ministry of Commerce simplified the approval process that newly forming foreign-invested enterprises must go through.
NUMBER OF INTERVENTIONS
PRC Ministry of Commerce, July 30, 2017. (商务部公告2017年第37号 关于外商投资企业设立及变更备案管理有关事项的公告)
On the 30th of July 2017, the Ministry of Commerce of the PRC (MOFCOM) announced that entities transforming from from domestic to foreign-invested enterprises through M&A procedures would no longer have to undergo the approval procedure from the Competent Comission of Commerce (COFCOM), instead only requiring the undertaking of simplified filing procedures with them.
Restrictions still exist for firms which conduct business in sectors listed on the 'restricted' or 'negative' lists present in the 'Foreign Investment Catalogue' (see related state act).
This policy greatly simplified the process of M&A of Chinese domestic enterprises for a large proportion of foreign investors.