On June 29, the State Council released a slew of new measures intending to simplify cross-border business and expand market access within six of China’s 21 free trade zones (FTZs): Beijing, Shanghai, Guangdong, Tianjin, Fujian, and Hainan. The measures come at a time when Chinese leaders are determined to revive both the domestic economy and investor confidence. According to the announcement, the reforms will be implemented by next July.
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Bipartisanship is uncommon on Capitol Hill, but policymakers across party lines agree on investing in and regulating artificial intelligence (AI). This wake-up call has been driven, in-part, by a perception that China’s accelerated efforts to both develop its AI capabilities and regulate AI technologies will give the country an advantage in the foundational technologies that the United States and China are racing to lead.
On July 6, US Secretary of the Treasury Janet Yellen traveled to China for a four-day visit, with bilateral meetings taking place over two days. Her visit marked the second cabinet-level trip during the Biden administration, following Secretary of State Antony Blinken’s trip in June. Yellen met with China’s top economic officials, including Premier Li Qiang, Vice Premier He Lifeng, Minister of Finance Liu Kun, and newly appointed People’s Bank of China Party Secretary Pan Gongsheng.
On June 21, the Ministry of Finance, Ministry of Industry and Information Technology (MIIT), and State Taxation Administration (STA) jointly announced that China will extend a purchase tax exemption for new energy vehicles (NEVs) in an effort to boost purchases in China’s massive automotive sector. Chinese regulators are prioritizing policies aimed at boosting vehicle sales, which they hope will send a positive signal about China’s overall economic recovery and increase consumer confidence...
On June 28, China’s top legislature, the National People's Congress (NPC) Standing Committee, adopted the Foreign Relations Law (FRL) after a second reading. Though the law’s provisions are mainly declaratory rather than enforceable, the law’s passage marks an all-encompassing effort from Beijing to streamline the country’s handling of foreign affairs and to further expand its legal toolbox to counter foreign provocations and sanctions.
On May 29, the National People’s Congress (NPC) released its 2023 Legislative Work Plan, which outlines 13 laws to be reviewed by the NPC Standing Committee (NPCSC) during the June, August, and December NPC sessions. Shortly after, the State Council released its 2023 Legislative Work Plan, listing 17 laws and 17 regulations to be drafted and/or revised this year.
China's protection and enforcement of intellectual property (IP) rights remains a key challenge for both US companies and a key issue for the US government. The Office of the US Trade Representative said in its 2023 Special 301 Report that the slow pace of China’s IP reform is a “serious concern.” The Chinese government has also long acknowledged the need to better protect domestic and foreign firms’ innovations. Recent patent filing data released by the National Intellectual Property...
Over the last several months, both the United States and China have issued plans to support standards-setting activities in emerging sectors in an attempt to ensure first-mover advantages over one another and their global competitors. But if countries’ standards move further apart over the long term, these plans may undermine global firms’ ability to conform their operations and products with varying standards, impacting both technological interoperability and operating costs.