China Market Intelligence

June 25th, 2014
John Lenhart

A key figure in the enforcement of China’s Antimonopoly Law (AML) insisted that Chinese regulatory procedures and AML enforcement are “in line with international standards” during a discussion with the US-China Business Council (USCBC) in Beijing last week. USCBC met with Director General Xu Kunlin of the National Development and Reform Commission’s (NDRC) Price Supervision and Antimonopoly Bureau on June 19 to discuss NDRC pricing investigations, in particular procedural issues like legal...

June 25th, 2014
Lingling Jiang

After several years of implementing policies to promote China’s strategic emerging industries (SEI), local and central government officials seem to be cooling in their enthusiasm for government-supported SEI development. So far, government policies have not resulted in a “blossoming” of SEIs or the structural changes to local industry that regional governments had expected. In particular, the recent rapid development of China’s Internet industry—which is less government-controlled and...

June 25th, 2014
Cindy He

As part of a trade promotion event in Shanghai, Hunan’s governor and party secretary met with US-China Business Council (USCBC) members on June 17 to discuss strategic investment opportunities in their province. Governor Du Jiahao and Party Secretary Xu Shousheng spoke at length about the “great opportunities” provided by China’s new Yangtze River economic belt, and how foreign investors can take advantage of them. USCBC members shared stories about current business and...

June 24th, 2014
Andrew Gong

Judicial pilot programs announced last week could reduce local protectionism in Chinese courtrooms and—over time—improve the quality of judges ruling on commercial cases, analysts say. The program, designed to curb rampant corruption in China’s judiciary, will overhaul judicial systems in six regions: Shanghai, Guangdong, Jilin, Hubei, Hainan and Qinghai.

In its announcement, China’s Central Leading Group for Judicial Reform identified seven areas in which it seeks to make significant...

June 12th, 2014
Ryan Ong

Foreign testing labs and certification providers may now apply for the right to offer services related to the China Compulsory Certification (CCC) mark, a safety mark for products sold or used in the Chinese market. Previously, foreign companies were allowed to provide services only for goods exported from China to other markets. According to the National Certification Administration of China’s (CNCA) June 11 notice, such companies can apply to be “designated” providers if they are currently...

June 11th, 2014
Erin Ennis

China’s announcement at the 2013 Strategic & Economic Dialogue that it would use the US approach to bilateral investment treaty (BIT) negotiations—a negative list based on pre-establishment—has given positive new momentum to negotiations, in particular efforts to reduce China’s foreign ownership restrictions. A high-quality BIT will be important to US-China Business Council (USCBC) members across all sectors, so USCBC is creating a members’ working group to identify priority issues and...

June 11th, 2014
Ryan Ong

USCBC launched a new tool this week to evaluate China’s progress in implementing economic reforms that will impact member company operations. The overall assessment of the first USCBC scorecard: limited.

More than 14 months after Xi Jinping assumed leadership of the Chinese Communist Party, many government agencies have issued new policies to advance his calls for sweeping economic reform. The National Development and Reform Commission (NDRC) has said it will prioritize investment...

June 11th, 2014
Christina Nelson

Rapidly increasing wages, high demand for qualified workers, and high turnover rates have made recruiting and retaining talent one of the top challenges multinational companies face in China year after year. But there’s another issue making employee recruitment and retention even more difficult: China’s air pollution.

Julian Ha, a partner at executive search firm Heidrick and Struggles, said that pollution is having an impact on companies’ ability to fill executive positions. “...

June 11th, 2014
Stephanie Henry

As the US government prepares for upcoming negotiations at the Strategic and Economic Dialogue (S&ED) in early July, separate discussions under the Joint Commission and Commerce and Trade (JCCT) framework are well underway. Senior officials from the Office of the US Trade Representative (USTR) and US Department of Commerce (DOC) visited Beijing in April and May to hold bilateral discussions on a wide range of industry issues, ranging from licensing and intellectual property rights (IPR)...

June 11th, 2014
Elise Pietro

Panelists shared best practices for dealing with China’s antimonopoly investigations and discussed HR and environmental business challenges at the US-China Business Council’s (USCBC) annual membership meeting. The meeting—which took place on June 3—attracted more than 100 attendees from nearly 70 member companies, including Dell, Disney, and MeadWestvaco Corporation.  

Speaking on China’s antimonopoly and merger control regulations, Baker & McKenzie’s Bing Ho and Edgeworth...