National Development and Reform Commission and Ministry of Commerce, Announcement [2016] No.22

(Issued by the National Development and Reform Commission and the Ministry of Commerce on October 8 2016.)

On September 3 2016, the Decision on Amending the <PRC Wholly Foreign-owned Enterprise Law> and Three Other Laws was adopted at the 22nd Session of the Standing Committee of the 12th National People's Congress. It changes the administration of the establishment of, and changes in, foreign-invested enterprises that do not involve the implementation of the special administrative measures for access specified by the state from examination and approval to record filing. Following approval by the State Council, the scope of the special administrative measures for access by foreign investors shall be handled in light of the restricted and prohibited categories of the Foreign Investment Industrial Guidance Catalogue (Amended in 2015) as well as the requirements in respect of equity and senior management in the encouraged category. The establishment of an enterprise that involves an acquisition by a foreign investor and changes therein shall be handled in accordance with current relevant provisions.