Research & Analysis

A new government system that evaluates and tracks “untrustworthy” individuals and companies could limit eligibility for financing, employment, and Party membership, as well restrict real estate transactions and travel. The Chinese government intends to fully implement this nationwide social credit system by 2018.

Companies operating in some of China’s major cities are facing significant cost increases following a change to employment social security fund payment calculations. Although announced by the central government, provincial governments are implementing the new calculation in different ways—if at all—leaving all companies unsure of how to comply.

The newly released Catalog of Encouraged Imported Technology and Products identifies key technologies and products that Chinese companies are encouraged to buy from abroad, potentially positive news for US companies looking to expand sales in China.

Air pollution continues to pose a major health threat in China. China’s recent Air Pollution Prevention and Control Law and Atmospheric Pollution Prevention Action Plan demonstrate the government’s resolve to significantly improve air quality. With appropriate planning, this large-scale deployment of clean air technologies could reduce China’s greenhouse gas emissions, helping achieve the country’s longer-term climate policy goals.

On January 25, 2017, the US-China Business Council hosted Forecast 2017, a half-day program featuring comprehensive projections for the Chinese business and political environment in the year ahead. This annual event joined leading China business analysts and policymakers to discuss key challenges and offered an opportunity for companies to learn more about what may be ahead just five days into the new Trump administration and what Congress’s priorities will be, as well as other key issues that companies will contend with in China in 2017 and beyond.