China Market Intelligence

April 15th, 2020
By Owen Haacke and Melinda Xu

China’s Ministry of Commerce (MOFCOM) and National Development and Reform Commission (NDRC) are currently soliciting feedback on revisions to the “Encouraged List” for foreign investment. In tandem, news reports indicate regulators are revising the “Negative List,” a collection of industries that foreign companies are not allowed to invest in or that have restrictions. If the Encouraged List is expanded and the Negative List reduced, as USCBC has advocated for, foreign companies could enjoy...

April 15th, 2020
By USCBC Staff

As China flattens its curve of COVID-19 infections, many regions of the country have resumed manufacturing, though at a lower capacity. Several US companies in China have reopened most of their facilities despite looming economic uncertainty due to the global spread of the virus.  Below is a selection of common challenges US companies in China are facing now as described by USCBC members:

April 13th, 2020
By Craig Allen

In the roller coaster ride that is the US-China relationship, the upside got a boost from a recent phone call between President Trump and President Xi. Their conversation resulted in much-needed cooperation on COVID-19, including the emergency delivery of massive air-shipments of supplies and equipment to desperate American cities. 

April 1st, 2020
By Chris Miller

The Chinese Ministry of Foreign Affairs (MOFA) announced on March 27 that China is suspending entry into China for foreign nationals, effective since March 28. This decision requires businesses to now reconsider any upcoming international business travel for non-Chinese employees residing in China for fear of being barred from re-entry. It also contributes to longer-term uncertainty for large-scale forums with international participation and commercial activities requiring international...

April 1st, 2020
By Yan Yu and Jack Kamensky

China’s Ministry of Finance (MOF) launched a pilot program in early March aimed at improving transparency and impeding corruption and unfair competition in government procurement tenders. The program requires the finance departments of the central government, Beijing, Shanghai, and Shenzhen to disclose their procurement intentions for projects to be implemented after July 1, 2020. While MOF’s program may improve several long-standing challenges, it will not solve all issues that foreign...

April 1st, 2020
By Angela Deng and Pearson Goodman

With China’s economy still operating at less than 75 percent of pre-virus capacity and the official unemployment rate reaching its highest recorded level, the government’s attention has increasingly turned to policies that jumpstart business. These policies range from targeted relaxations of company obligations to large-scale efforts to facilitate foreign investment. 

March 25th, 2020
By USCBC staff

On March 23, China’s Ministry of Commerce (MOFCOM) released the Draft of Working Measures for Processing Complaints of Foreign-Invested Companies (“draft measures”), an update to interim measures released in 2006. The draft measures aim to help foreign-invested companies officially raise complaints to administrative agencies and receive remedies and/or settlements within 60 working days. The draft measures would also clarify significantly the procedures and timeline for processing complaints...

March 23rd, 2020
By USCBC staff

The Office of the United States Trade Representative (USTR) is seeking comment on additional modification or elimination of tariffs on Section 301 medical care products. Last Friday, March 20, USTR issued a Request for Comments on Additional Modifications to the 301 Action to Address COVID-19, opening a comment period until at least June 25, though USTR may extend as appropriate and will be considering comments on a rolling basis.

March 18th, 2020
By Antonio Douglas

Conversations with USCBC member companies in the ICT sector point to the existence of an organization quietly working to shore up China’s ability to establish a technological ecosystem that is able to sustain itself solely on domestic components. While the existence of the alliance does not appear to have any major effects on US companies for the time being, this push for self reliance seemingly belies assurances from the Chinese government that policies calling for “secure and controllable...

March 18th, 2020
By Chris Miller

After years of under-regulation in online retail, China’s Ecommerce Law officially entered into force at the start of 2019. Although the law introduced sweeping reforms, the industry did not experience overnight change. China’s State Administration of Market Regulation (SAMR), the supervisory authority behind the law, has instead maintained a steady drip of measures and policies designed to implement and clarify various provisions of the Ecommerce Law. The result has been a more predictable...

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