Permitted Business Activities Expand for Foreign Investors

July 02, 2001 | BY

clpstaff &clp articles

Historically, the PRC government has not allowed foreign investors to make investments in the PRC. Gradually, these restrictions are being relaxed, as…

Historically, the PRC government has not allowed foreign investors to make investments in the PRC. Gradually, these restrictions are being relaxed, as outlined in a new law from MOFTEC.

The PRC government has made further efforts  to attract foreign investment by relaxing   restrictions on the activities that may be undertaken by foreign-owned companies with an investment nature in China.  The «Establishment of Companies with an Investment Nature by Foreign Investors Tentative Provisions»Supplementary Provisions (2) (《关于外商投资举办投资性公司的暂行规定》的补充规定（二）), issued by the Ministry of Foreign Trade and Economic Cooperation on May 31 2001, demonstrates the PRC government's determination to further open China's markets in preparation for accession to the World Trade Organization.

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