China Market Intelligence

January 9th, 2008

The China Securities Regulatory Commission (CSRC) at the end of 2007 released the revised Rules on Foreign Investment in Securities Companies and Provisional Measures for Establishing Securities Company Subsidiaries. Both regulations, which took effect January 1, aim to align current procedures and requirements in the securities industry with new laws. They also lift some restrictions on foreign investors but retain others.

Revised Rules on Foreign Investment in Securities...
January 9th, 2008

The PRC State Council recently appointed some new faces to key government and Chinese Communist Party (CCP) positions. More appointments are expected to emerge in the next few months leading up to the National People's Congress meeting in March. CMI will report on key personnel changes as details emerge.

PRC Personnel Changes (in alphabetical order) Notes: *Liu will serve the two positions concurrently.
**It is unclear whether Wang will serve the two positions concurrently.
...
January 9th, 2008

At a US-China Business Council (USCBC) luncheon last month, Nikos Zaimis, counselor and head of the trade section of the European Commission's Washington, DC, office, highlighted some of the key issues in the EU-China commercial relationship, many of which dovetail with US concerns.

EU-China policy and dialogue

Zaimis discussed the European perspective on China, noting that China is now the European Union's second-largest trading partner with a rapidly expanding...

January 3rd, 2008
State Council clarifies income tax transition for existing FIEs...

The PRC State Council Notice on Transition of Preferential Policies for Enterprise Income Tax clearly details the transition process for implementing the new Enterprise Income Tax Law (EIT Law), which took effect January 1, 2008. The notice was passed on December 26, 2007 and issued on January 2.

The notice lays out a five-year transition process, identical to the draft proposal previously reported in...

January 3rd, 2008
China trade advocacy website

The US-China Business Council (USCBC) has launched a public webpage, China Trade Legislation, that will enable member companies, their employees and suppliers, and other interested groups to learn about US-China trade issues and write to their members of Congress on key issues. By giving voice to those who believe the trading relationship benefits them and their companies, USCBC hopes this effort will begin to provide Congress with a...

January 3rd, 2008

The 31st meeting of the 10th National People's Congress Standing Committee, which closed on December 29, 2007, passed

The Labor Dispute Mediation and Arbitration Law (see below); The Anti-Drug Law; The revised Science and Technology Progress Law; The revised Personal Income Tax Law; The revised Road Traffic Safety Law; The revised Border Health and Quarantine Law; and The revised Cultural Relic Preservation Law.

Chaired by Wu Bangguo, the Standing Committee also officially announced...

January 3rd, 2008

The PRC Ministry of Commerce (MOFCOM) recently released the Outline of the 11th Five-Year Plan (FYP) on Developing Services Trade (2006-10), which sets growth targets and broad objectives and details sector-specific goals. The FYP is the first of its kind for the services sector and follows the March 2007 State Council Opinion on Expediting the Development of the Services Sector and the formation of a leading group on the development of the services sector headquartered in the National...

December 19th, 2007

The State Council Legislative Affairs Office, Ministry of Finance (MOF), and State Administration of Taxation (SAT) jointly released the long-awaited Enterprise Income Tax Law Implementing Regulations on December 11. The implementing regulations clarify several important provisions of the Enterprise Income Tax Law (EIT Law)--which unifies the income tax rate for both foreign-invested and PRC enterprises at 25 percent--but also leave some key areas unaddressed. Both the EIT Law and the...

December 19th, 2007

The PRC State Council recently announced new annual leave regulations and the 2008 PRC holiday schedule, both of which take effect January 1, 2008.

According to the annual leave regulations, all employees in China are eligible for 5 days' leave after 1 year of service, 10 days' leave after 10 years, and 15 days' leave after 20 years. Under special circumstances, for example because of production or work needs, employees may carry over unused leave to the following year. In addition,...

December 19th, 2007

Since the US government representatives involved in the US-China Strategic Economic Dialogue (SED) have returned to Washington, DC, from Beijing, new details have emerged about what occurred during the third round of the high-level talks. As reported in last week's memo to US-China Business Council (USCBC) members, the dialogue covered topics such as food and product safety, financial services, energy and the environment, transparency, rebalancing China's growth model, and innovation.

...

Pages