PRC government officials addressed some foreign company concerns about their ability to expand their investments in China. Last month, the Ministry of Commerce (MOFCOM) and State Administration of Foreign Exchange (SAFE) released a new notice that regulates foreign-invested holding companies and foreign exchange.
China Market Intelligence
China has finalized long-awaited revisions to a key foreign direct investment policy document that offers few reductions in foreign ownership restrictions or services sector openings. The 2011 Catalogue Guiding Foreign Investment in Industry was jointly released on December 29, 2011 by the PRC National Development and Reform Commission (NDRC) and the Ministry of Commerce (MOFCOM).
Companies in China faced a year-end scramble to enroll their foreign employees in China’s social insurance scheme before January 1, 2012, after the Ministry of Human Resources and Social Security (MOHRSS) released a notice to pressure local authorities to impose fines on companies whose foreign employees were not registered by the end of 2011.