In a step toward national treatment in its tax regime, the PRC State Council recently revised a land use tax policy and consolidated vehicle and vessel tax policies, giving foreign-invested enterprises (FIEs) the same tax treatment once accorded to domestic enterprises.
China Market Intelligence
The PRC Ministry of Commerce (MOFCOM) and the State Administration of Taxation last week jointly released the Catalogue of Encouraged Technology Transfers to supplement the State Council's Medium-to-Long Term Development Plan for Science and Technology (2006-20), which was issued in February 2006.
China's trade in electronic and machinery products accounted for more than half of China's total trade from January to November 2006, according to a MOFCOM report. Exports of standard electronic and machinery products increased, while processing trade exports slowed during that period.
The Standing Committee of the 10th National People's Congress (NPC) met December 24-29, 2006 to review key legislation.
After receiving an unprecedented 190,000 comment submissions--including one from the US-China Business Council (USCBC)--for the draft Labor Contract Law during the public comment period in March 2006, the Standing Committee of the 10th NPC reviewed a revised draft of the law in its December session.
The PRC National Development and Reform Commission (NDRC) recently issued a notice on restructuring China's domestic auto industry to control overinvestment in the sector.
In early November 2006, one of China's most influential and intrepid unofficial newspapers, Southern Weekend (Nanfang Zhoumo), published a list that ranked Fortune 500 companies by their "impact" in China. The ranking considered each company's overall influence in China, social responsibility, and regional contributions, among other factors.
The Beijing No. 1 Intermediate People's Court last week ruled that US-based Pfizer, Inc.'s patent on Viagra, the male impotence drug, is valid and ordered two Chinese companies to stop producing counterfeit pills.