China Market Intelligence
This year’s National People’s Congress (NPC) which took place March 5-15 included a few key announcements that may provide a window into the business environment in the coming year.
Premier Li Keqiang announced that China will reduce the value-added tax (VAT) rate in manufacturing, construction, and transportation and increase spending on infrastructure. The move will benefit both domestic and foreign businesses operating in China.
On September 7, the 13th National People’s Congress Standing Committee (NPCSC), China’s constitutional authority, released its five-year legislative plan, outlining and prioritizing major legislative tasks into three classes that, in princi
Eighty-nine percent of US-China Business Council (USCBC) member companies view rising costs as a top concern in the China market, according to USCBC’s 2017 Member Survey.
US companies in China are assessing the impact of US tax reform on their China operations, US tax obligations, and global strategy.
China recently issued new rules that that offer mixed implications for foreign company qualification for innovation-related tax breaks.
Looking to take full advantage of the China market, foreign companies are increasingly seeking out new ways to develop and leverage their intellectual property (IP) in China. Those strategies can range from licensing IP to a China-based subsidiary, joint venture, or other business partner to joint technology development agreements.
New openings for foreign investment and preferential taxes for goods sold through pilot e-commerce channels have raised questions about how companies can integrate e-commerce into their business plans in China.
At the end of December 2014, China’s State Council asked local governments across the country to review and eliminate many preferential policies for foreign and domestic investment, from special land pricing to local tax rebates.