Research & Analysis

While cybersecurity challenges have long affected foreign companies operating in China and raised concerns about discriminatory treatment of foreign products—particularly China’s recent push for “secure and controllable” technology—the beginnings of this trend can be traced to the early 1990s with China’s adoption of the multi-level protection scheme (MLPS). Today, companies describe an increasingly restrictive environment that is squeezing their market share as regulators increasingly link national and cybersecurity to government procurement, data management, and IT system integration. This squeeze is particularly evident in China’s implementation of MLPS.

Foreign businesses are adjusting their long-term China strategies as they evaluate how local governments implement the RMB 40 billion-backed national One Belt, One Road (OBOR) development policy. As provincial and city governments release additional details about project funding, companies are seeking project bids and reorienting their sales practices to align with OBOR objectives.

As Chinese consumers gain greater spending power, their preferences and concerns are exerting greater influence on the market. Food safety has become a particular focus for Chinese consumers, and several recent high-profile food safety investigations have heightened public awareness and concerns on this front.

China Compulsory Certification (CCC) is a necessary part of tapping the Chinese market for more than 132 product categories, including automotive parts. Manufacturing vehicle components is a complex undertaking, and the rules and regulations for selling in China can be overwhelming. However, a few simple tips—and plenty of advance preparation—can set up a successful certification and new customer base.

Tuesday, November 22, USCBC hosted the third annual food safety seminar on the margins of the JCCT, along with the China Council for the Promotion of International Trade (CCPIT) and the US-China Agriculture and Food Partnership (AFP). First held in 2014 in Chicago, the seminar is a forum for American and Chinese companies to talk about cooperative ways to improve food safety. The 2016 seminar focused on: strengthening consumer protection and enhancing public confidence in the supply chain; transparency and implementation of food safety regulations; and international best practices on preventing and responding to food safety incidents.