Research & Analysis

More than 90 percent of the semiconductors that China purchases are imported from the United States, South Korea, Japan, and Taiwan. As a result, China spends more money importing semiconductors than it does oil. Over the next decade, China plans to invest up to RMB 1 trillion ($161 billion) into the domestic semiconductor industry as it seeks to become a global power in the sector.

While many foreign investors rush to set up a WFOE, many overseas parent companies underestimate the tax and financial planning required to cover expenses that will incur during the pre-incorporation process.

U.S. President Barack Obama will host China’s President Xi Jinping for a special bilateral meeting on March 31. This signifies at once the general and increasing importance of relations between Washington and Beijing, but also the specific need to address rising tensions between the two nations.

VIDEO: Kent Kedl, greater China and north Asia managing director for global risk consultancy Control Risks, explains to Asia Society the common problems related to doing business in China.

Labor Dispatch Laws Change the Makeup of Companies in China Because it’s a flexible and cheap option, labor dispatch–when a company hires employees on a contract basis through an outside agency–is one of the most popular ways to hire employees in China. But as new labor regulations come into effect, companies in China need to understand the complexities of balancing the makeup of their labor force.Dispatch agencies offer companies temporary workers for particular projects or for a certain perio

China’s recently released Five Year Plan signifies strong market potential for the US business community as the country aims to develop its own sustainable economic infrastructure.

When a foreign business or individual makes income in China, it may be subject to tax in both the business or individual’s home country and China, which could substantially increase their tax burden. Many investors therefore choose to set up an offshore share company in locations that have double taxation avoidance agreements. The new Certificate of Tax Residency aims to simplify that process.