China Market Intelligence

August 22nd, 2018
By USCBC Staff

On March 17, China’s national legislative body, the National People’s Congress (NPC), adopted a plan for the extensive restructuring of the Chinese bureaucracy “to make the government better-structured, more efficient and service-oriented.” The US-China Business Council (USCBC) has been tracking subsequent updates and has published brief descriptions of key Chinese government agencies here as a resource for members.

Through a series of consolidations and the...

August 22nd, 2018
By Jake Laband

While China’s battle to increase environmental protection and improve enforcement seeks to address serious pollution issues, it has also led to a variety of enforcement campaigns that have created unintended negative consequences for companies operating in China. Although foreign firms often play a leading role in employing environmentally friendly technology in China, the one-size-fits-all nature of these campaigns disrupts supply chains, decreases efficiency, and creates a less...

August 22nd, 2018
By Anna Ashton

China last week filed two separate requests for consultations with the United States at the World Trade Organization (WTO), questioning the legality of US tariffs on Chinese solar panels and challenging US measures at the state and local levels that provide incentives for the use of domestically sourced renewable energy products. These latest volleys are emblematic of the ongoing US-China trade battle and underscore the increasing vulnerability of the international trade regime....

August 22nd, 2018
By Angela Deng

Recent reforms to the operations of the Committee on Foreign Investment in the United States (CFIUS) removed some of the controversial elements of earlier proposed versions, but strengthened and expanded the scope of CFIUS authority to review foreign transactions and tightens the export controls process. President Donald Trump signed the Foreign Investment Risk Review Modernization Act (FIRRMA) into law August 13 after Congress passed it August 1 as part of the National Defense...

August 8th, 2018
By Ian Hutchinson

As the Belt and Road Initiative (BRI) spreads, having accounted for $250 billion in construction in about five years, it is inevitable that commercial disputes will emerge. In an effort to expeditiously work through caseloads, the Supreme People’s Court of China (SPC) established the new China International Commercial Courts (CICC) for international commercial cases.

China took a step toward establishing these courts in September 2017 when it signed on to the Hague...

August 8th, 2018
By Chynna Hawes

The Shanghai Free Trade Zone (FTZ) Market Regulatory Authority (MRA) recently issued a penalty decision against a foreign medical product distributor for false promotion under the Anti-unfair Competition Law (AUCL), the revised version of which came into effect January 1. The recently created State Authority for Market Regulation (SAMR) assumed enforcement responsibilities for the AUCL, and in May announced it would step up implementation with a six-month campaign through October....

August 8th, 2018
By Ricky Altieri, Chenyu Wu, Mohan Sun

Made in China 2025 (MIC2025), a central government economic plan that supports the development of advanced technology industries, has resulted in a slew of provincial legal documents with important implications for foreign businesses. Although they vary in specificity and length, these documents illuminate how this broad national initiative is being translated into concrete local government action.

Taking the form of action plans, guidelines, and opinions, this...

August 8th, 2018
By Owen Haacke

On July 28, the US-China Business Council (USCBC) submitted comments to the National People’s Congress concerning the third draft of the Ecommerce Law. The English and Chinese versions of the comment letter are on the USCBC website.

USCBC authored analyses of the first and second drafts of the law for members and provided comments on the first draft to the Chinese government. In successive drafts, the law’s focus on consumer data privacy, restrictions on ecommerce...

July 25th, 2018
By Anna Ashton

A California Court of Appeals decision in a recent case has potentially significant implications for US companies seeking to enforce contracts with Chinese partners that agree to jurisdiction in the California courts to resolve disputes.

US companies’ contracts with Chinese partners frequently include agreements to submit to the jurisdiction of US federal and state courts for arbitration rather than Chinese courts, and to accept notice of legal proceedings by mail...

July 25th, 2018
By Angela Deng

The Trump administration’s Section 301 case on China’s intellectual property rights (IPR) and technology transfer policies appears to be headed for additional escalation, with a second phase of tariffs expected to be implemented by early September and no indication that the two governments are seeking a negotiated solution.

Of the $50 billion worth of Chinese imports that the US government announced in June would be subject to an additional 25 percent tariff, the...

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