China Market Intelligence

December 21st, 2015
Zoe Sophos

At the Chinese government’s last major meeting of the year, leaders committed to structural reforms and policies to stabilize a slowing economy. The Central Economic Work Conference (CEWC), which was Friday through Monday in Beijing, is an annual meeting of China’s top policymakers that sets economic goals for the coming year and is often an indication of policy priorities.

The CEWC mirrored the themes of the 13th Five-Year Plan—set to be formally released in March...

December 9th, 2015
Stephanie Henry

Over the past month, leaders from across the globe have met in a series of forums to discuss global trade, investment, and security across the Asia-Pacific. From the Asia Pacific Economic Conference (APEC) to the East Asia Summit, leaders are advancing key economic and security priorities for the coming year, ranging from strengthening regional connectivity to promoting environmental goods trade. For China’s part, President Xi Jinping and other senior leaders used these fora to...

December 9th, 2015
Owen Haacke and Pianpian Huang

China’s 12th Five-Year Plan ends along with 2015, and it is important to reflect on what was and was not accomplished as China maps out the next five years. The original objectives of the 12th FYP and an analysis of economic and social development released in November by the central government provide metrics on important challenges such as domestic consumption, energy use, improvements to the service sector, and financing for environmental, IT, and other spaces. Official reports...

December 9th, 2015
Ryan Ong

US officials seeking resolution of a high-profile, ongoing accounting dispute hit a roadblock in negotiations in October, but it is unclear how the setback will impact their future negotiating strategy. A delegation of senior officials from the Public Company Accounting Oversight Board (PCAOB), the regulatory body that oversees the auditors of public companies in the US, was unable during its visit to China to strike an expected deal that could have allowed PCAOB to conduct pilot...

December 9th, 2015
Zoe Sophos

In a largely symbolic decision, the International Monetary Fund (IMF) last week announced it will add the yuan to its Special Drawing Rights (SDR) basket of currencies on October 1, 2016. It will be the biggest change to the basket since the euro was created in 1999.

The IMF’s decision is a turning point in the internationalization of the RMB, one of China’s long-term policy goals with important “face-giving” implications for economic reformers. While the inclusion...

December 9th, 2015
Owen Haacke and Ryan Ong

American companies are seeing small benefits from China’s national administrative licensing reform agenda, but a number of obstacles continue to challenge companies in licensing and government approvals. Licensing ranked sixth in the list of challenges this year for US-China Business Council (USCBC) member companies in China. Recent conversations between USCBC staff and some of these companies reveal that despite some reforms, licensing challenges continue to hinder business in the...

December 9th, 2015
Zoe Sophos

At the first meeting of a new, high-level dialogue on cybercrime, the United States and China agreed on guidelines for requesting assistance on malicious cyber activities but failed to address an investigation into the recent Office of Personnel Management (OPM) hack. Despite mixed progress, the dialogue is an important sign of re-engagement on cybersecurity issues. Cybersecurity, especially regarding commerce, has long been a top concern for the US-China Business Council, which...

November 24th, 2015

Chinese commitments to boost transparency of technology and security policies and improve trade secret protection were key at this year’s US-China Joint Commission on Commerce and Trade (JCCT), which ended Monday in Guangzhou. The JCCT—an annual bilateral dialogue about commercial cooperation and concerns—saw some progress on outcomes from Chinese President Xi Jinping’s September state visit, but limited progress on USCBC priority issues.

This was the second year...

November 23rd, 2015

China appears to have made new commitments on the protection of trade secrets as part of bilateral meetings with the United States today, although full results of this year’s meeting of the US-China Joint Commission on Commerce and Trade (JCCT) are just beginning to emerge.

Initial media reports indicate that substantive results may be announced on several issues, including intellectual property rights, competition policy, and technology and security issues....

November 10th, 2015
Pianpian Huang and Jake Parker

China has announced further details about plans to gradually decrease government control over investment decisions. The Opinions on Implementing the Market Access Negative List System, a document released by the State Council on October 19, 2015, offer a firmer roadmap towards adopting a “negative list” approach in China, which would allow foreign investment in all fields except those expressly restricted. With pilot implementation in some locations slated to begin as early as...